PRESS RELEASE: 


28th September 2002
For immediate release


$1bn HIPC Trust Fund Commitment 'not enough' says Jubilee Research

At the World Bank and IMF Annual Meetings in Washington, creditor countries agreed to fully fund the $1bn of additional debt relief committed at the G7 Summit in Kananaskis in June. This funding is intended to provide additional relief at Completion Point for countries facing unsustainable debt burdens as a result of lower-than-expected export revenues. 

However, analysis by Jubilee Research has shown that the $1bn committed will amount to a fraction of the $2bn-$3bn extra needed if HIPC debt burdens are to brought down to sustainable levels.

Romilly Greenhill, Economist at Jubilee Research, said 'The World Bank and IMF's calculations assume that the analysis of debt sustainability should be done after taking into account additional bilateral debt cancellation committed by G7 countries, as a result of pressure from the international Jubilee 2000 campaign. But we believe that this additional debt cancellation should really be that - 'additional'. By including this cancellation in their analysis, the World Bank and IMF are ensuring that the generous declarations of G7 leaders amount to nothing.'

Ends

Contacts: In Washington: Romilly Greenhill + 44 7812 605131 (cell)
In London: Ann Pettifor + 44 7770 886146