The Christian Science Monitor calls for the G8 to ease poor nations' debt

The Christian Science Monitor has called for the G8 industrial nations to take radical action to ease the debt burden of the poorest countries struggling under the crippling burden of unpayable debts. In its edition of January 4^th 1999, it supports the view of Jubilee 2000 that the current conditions for debt relief from the international financial institutions are far too tough, and that a new realistic approach must be prepared and adopted by the rich industrialised nations.

“To an international coalition of faith-based organisations, Jubilee 2000, the (current) terms (for debt relief) are just too tough. They are calling for more and faster debt relief for the world's poorest nations in Africa and elsewhere.”

The Christian Science Monitor recognises that many of the debts built up as western creditors continued to make loans to corrupt dictators during the Cold War, or from overzealous promotion of exports, benefiting big business in the west but with little or no benefit to populations in the borrowing country.

“Some debts piled up as the US or its allies supported corrupt, anti-communist dictators during the cold war. And sometimes, rich countries stirred up business for their own companies, even though the debt-financed projects made little economic sense.”

The Monitor recognises the importance of breaking the vicious circle of poverty, corruption and bad government. They recognise the need to ensure that extra funds are channelled into the right areas for tackling poverty, and reject any idea that this is not possible.

“Ignorance and poor education tend to perpetuate poverty, corruption, and bad government. This cycle must be broken. There must be a way to steer more money to antipoverty efforts without the naivety that results in large chunks of the money being siphoned off by corrupt officials lining their own pockets. When the Group of Eight industrialised nations meet next June in Cologne, Germany, they should write a realistic plan to east the debt burdens of more poor nations faster.”

Finally, the leader recalls the spirit of generosity that led to the Marshall Plan and says that just such an initiative is needed for the present day. Only with an act of such farsighted vision will the issues of poverty and ever-increasing inequality be properly tackled.

“Many of today's rich nations were assisted to their prosperity by the generosity and flexibility of the US, through the Marshall Plan, and of other creditors after World War II. A similar spirit could help the world's poor nations progress today.”

For the full editorial.