"As of 2013, Chad owed $2.2 billion to foreign lenders and spent over
$100 million annually paying off debt. Prior to receiving debt relief,
Chad owed around $800 million to the World Bank and $400 million to
the African Development Bank. Chad also owes approximately $500
million to other governments. Under the relief plan, Chad receives $18
million in debt relief from the IMF, nearly $600 million from the
World Bank and $236 million from the African Development Bank.
Thirty-nine countries are eligible for HIPC debt relief. Qualifying
countries must meet certain criteria and implement poverty reduction
plans. Chad was granted relief even though it didn't meet all
criteria. Critics of these plans argue that to qualify for debt
relief, countries should not reduce any budget areas that protect
vulnerable populations. The three other qualifying countries yet to
receive relief are Sudan, Somalia and Eritrea."
http://www.indymedia.org.uk/en/2015/04/520330.html
World Bank and IMF Announce $1.1 Billion in Debt Relief for Chad
Sophia Har, Jubilee USA Network | 30.04.2015 16:14 | Globalisation | World
The International Monetary Fund (IMF) and the World Bank announced
$1.1 billion in debt relief for Chad. The money comes through the IMF
and World Bank's two major debt relief programs: the Heavily Indebted
Poor Country Initiative (HIPC) and the Multilateral Debt Relief
Initiative (MDRI). Chad is the 36th country to receive HIPC relief and
the first since 2012. Chad is the fourth-least developed country in
the world. More than half its population lives in poverty.
The International Monetary Fund (IMF) and the World Bank announced
$1.1 billion in debt relief for Chad. The money comes through the IMF
and World Bank's two major debt relief programs: the Heavily Indebted
Poor Country Initiative (HIPC) and the Multilateral Debt Relief
Initiative (MDRI). Chad is the 36th country to receive HIPC relief and
the first since 2012. Chad is the fourth-least developed country in
the world. More than half its population lives in poverty.
"Debt relief for Chad means an investment in education and
healthcare," said Eric LeCompte, executive director of the religious
debt relief organization Jubilee USA Network, which advocated for the
IMF and World Bank debt relief programs. "This is an important way to
give Chad's people help."
As of 2013, Chad owed $2.2 billion to foreign lenders and spent over
$100 million annually paying off debt. Prior to receiving debt relief,
Chad owed around $800 million to the World Bank and $400 million to
the African Development Bank. Chad also owes approximately $500
million to other governments. Under the relief plan, Chad receives $18
million in debt relief from the IMF, nearly $600 million from the
World Bank and $236 million from the African Development Bank.
Thirty-nine countries are eligible for HIPC debt relief. Qualifying
countries must meet certain criteria and implement poverty reduction
plans. Chad was granted relief even though it didn't meet all
criteria. Critics of these plans argue that to qualify for debt
relief, countries should not reduce any budget areas that protect
vulnerable populations. The three other qualifying countries yet to
receive relief are Sudan, Somalia and Eritrea.
Chad is one of the poorest countries in the world. Barely one-third of
Chad's people are literate and life expectancy is just 50 years. It
has the third highest mortality rate for children under five years
old. Chad's people endured a civil war from 2005 to 2010 that required
a United Nations peacekeeping intervention. Chad also faces
significant regional challenges. Chad's military recently intervened
in Nigeria's battle against Boko Haram militants and more than 260,000
Sudanese refugees from the Darfur conflict live in camps inside Chad.
"Debt doesn't exist in a vacuum," noted LeCompte. "Chad has immense
challenges and its debt burden worsens all of them. Less debt means
more hope."
Jubilee USA Network is an alliance of more than 75 US organizations
and 400 faith communities working with 50 Jubilee global partners.
Jubilee's mission is to build an economy that serves, protects and
promotes the participation of the most vulnerable. Jubilee USA has won
critical global financial reforms and more than $130 billion in debt
relief to benefit the world's poorest people. www.jubileeusa.org
Sophia Har, Jubilee USA Network
Received on Thu Apr 30 2015 - 20:54:32 EDT