G-20 Finance Ministers Agree To Framework To Help COVID-Hit Nations Pursue Debt Restructuring, Forgiveness
AP: G-20 agrees on framework for more debt relief amid COVID-19
“The Group of 20 nations, representing the world’s biggest economies, announced Friday that low-income countries hardest hit by the fallout of the coronavirus pandemic could potentially get an extension on their debt payments beyond mid-2021, and in the most severe cases, a debt write-off…” (Debre, 11/13).
Devex: G20 releases debt framework details
“The G-20 group of leading economies agreed to a debt framework to help countries pursue debt restructuring or forgiveness, building off of its Debt Service Suspension Initiative and recognizing that some nations may need additional relief, according to a communique released after an extraordinary meeting of G-20 finance ministers and central bank governors Friday. The framework, which is also agreed to by the Paris Club — the informal group of official creditors who coordinate solutions for debtor countries that have payment difficulties — is intended to ‘facilitate timely and orderly debt treatment for DSSI-eligible countries, with broad creditors’ participation including the private sector,’ according to the communique…” (Saldinger, 11/16).
The Observer/Guardian: World poverty rising as rich nations call in debt amid Covid, warns Gordon Brown
“It is being called the ‘great reversal.’ After decades of progress, the international goal of eradicating extreme poverty by 2030 is in jeopardy, Gordon Brown has warned, as developing countries battling the coronavirus sacrifice their health and education systems to pay western and Chinese creditors. … [T]he ability of many developing countries to tackle Covid-19 is severely limited by their debt obligations. With little financial support flowing from the IMF and the World Bank, some governments face a stark choice between repaying creditors or funding crucial public services…” (Doward, 11/15).