This is true in most developing countries, and generally reflects the fact that holding your money in a savings account in that country carries a lot more risk

This is true in most developing countries, and generally reflects the fact that holding your money in a savings account in that country carries a lot more risk than in the US, as anyone who has been through an economic / currency crisis can tell you. For example, banks could place limits on your ability to withdraw, or the government can limit your ability to move money out of the country, or in extreme cases, they can just force conversion to the local currency. (This is assuming its a dollar savings account. If you're getting 5% on local currency, you're exposed to the biggest risk of all: devaluation)