It depends. If the debt being repaid is in local (national) currency, perhaps but less likely than if it is in foreign currency. If it is all local, then it b

It depends. If the debt being repaid is in local (national) currency, perhaps but less likely than if it is in foreign currency. If it is all local, then it becomes a question of whether the nation has the production capacity and investment opportunities to absorb the additional currency in circulation. If it is all most mostly foreign, the exchange rate can go haywire leading to any imports exploding in price. And if the nation then is relying on imports for some stable or other, things can go very badly very quickly.