A/70/275 be enforceable. Sovereign statehood can be characterized as a similar and essential, if generally unremarked upon, agency relationship in the international legal arena. 20 41. The general principle of pacta sunt servanda necessarily includes built-in conditions and limitations; it cannot possibly be absolute, particularly in the sovereign context. The fact that there has been much debate over whether states generally adhere to international law and under which conditions is a testament to the existence of these potential conditions and limitations. The multifaceted nature of sovereign debt makes this debate even more contentious. One set of limitations may arise from the general laws and values that constrain all actors, preventing them from binding themselves or others in unacceptable ways. A second set of conditions may arise from the uniquely sovereign nature of the State itself, and its agency relationship and underlying obligations to its own popu lation. A third constraint may arise from exceptions to the substantive obligation in that the accumulation of interest on debt may have occurred due to conditions outside of the State’s control, which could include a widespread global impact, as was the c ase in the oil shock during the 1970s or could be due to a downturn in terms of trade for a particular State in a competitive global environment. This broader context and set of rules should shape any interpretation of sovereign debt contracts notwithstand ing the background principle of pacta sunt servanda. B. The obligations of States and others to their populations is increasingly accepted 42. In the view of the Independent Expert, the idea of sovereign States as entities that are embedded in broader rules and values and as fundamentally responsible for and obligated to their own populations seems widely accepted. It is true that in earlier historical periods, State populations have been viewed simply as subjects to Government rule and, at least implicitly, similar to an available resource for its use and control. However, this view appears to have been gradually rejected by international law and practice, in part through increasing recognition of human rights at the international level. 43. Even in the economic and financial arena, actors have acknowledged the essential relationship between Governments and their populations. For example, the greater focus on cases in which an official subverts his or her duty to the State and population in favour of private gain offers one key area in which this relationship is evident. The attention to corruption results in part from pragmatic concerns about its potential deleterious effect on economic development. But it also connects to a more general and fundamental recognition of the agency relationship at the core of contemporary sovereign statehood. In the 2012 update of its governance and anti corruption strategy, the World Bank noted that the “contours of a new social contract are emerging. Citizens are seeking a relationship with their government based on transparency, accountability, and participation.” 21 44. This understanding is also articulated in the United Nations Conference on Trade and Development (UNCTAD) Principles on Promoting Responsible Sove reign __________________ 20 21 12/18 See Leinau, Odette, Rethinking Sovereign Debt: Politics, Reputation, and Legitimacy in Modern Finance, Harvard University Press, 2014. See World Bank Group, “Strengthening Governance: Tackling Corruption — The World Bank Group’s Updated Strategy and Implementation Plan” (Washington, D.C.) 2012. 15-12541