CoinWorld News reports that the International Monetary Fund warns that currently 80% of emerging market external debt financing relies on securities investment portfolios, whereas only 40% did so 20 years ago. This makes them highly vulnerable to sudden capital outflows, which can lead to significant currency depreciation and widening sovereign debt spreads. Although since 2008, these capital inflows have totaled nearly $4 trillion and have brought benefits such as long-term debt, the IMF also cautions that investors are becoming more cautious. To reduce risks, the IMF urges countries to strengthen institutional capacity, increase foreign exchange reserves, and establish sustainable public debt systems.