Re: The consequences of debt
A devalued Tala can have some positive spinoffs.
1 - It makes it more affordable for tourists (the second highest income earner after repatriation of overseas funds)
2 - Provided the infrastructure remains sound (e.g compliance to international laws, low corruption, good policy governance) it can actually encourage foreign investment
3 - Exports from Samoa will suddenly look like a bargain
I agree with Pika T that loan defaulting is not a good situation to be in. It affects the credit rating of the nation, which in turn limits access to future funds.
The country should be run as a business.
Most businesses do take loans to fund projects and that is not a bad thing, but there must be accountability, vision, and financial justification in the process.
In the commercial world that I operate in, a failing business closes down. That is not an option for Samoa.