I don't understand your point. If you devalue your own currency, your foreign debts don't move at all. If you owe 100 bucks plus interest, you still owe 100 buc

I don't understand your point. If you devalue your own currency, your foreign debts don't move at all. If you owe 100 bucks plus interest, you still owe 100 bucks plus interest. The amount of bolivars you need just got higher, but no international buyer is going to give a crap about bolivars because they will rightly see bolivars as fake money. Internal debts will be cut by a factor of 20, so if you owe a 5 million bolivar mortgage, suddenly that is much less money. Conversely if you have 5 million bolivars as life savings, they just became worthless.