Governments are set to raise over US$3tn in debt this year. But can they all meet their targets? Julian Evans reports.

The practice of contracting debt will almost infallibly be abused in every government. It would scarcely be more imprudent to give a prodigal son a credit in every banker’s shop in London, than to empower a statesman to draw bills, in this manner, upon posterity.”
 

If ever there’s a good time to remind ourselves that investment banks are not entirely evil, it is now. There is a risk that the understandable public anger at the volatility and personal losses from the financial crisis will lead to a demonisation of both bankers and international banking. But there are still very good reasons to celebrate banking.