Other debt renegotiations

Participation by debtor firms is voluntary, and requires negotiation between the debtor firm and its creditors.

A Korean negotiating team met with a steering committee of international creditor banks to negotiate a restructuring of the short term debt.

(d) Lead to an orderly long term renegotiation of debts.

B. Recent developments in debt renegotiations

25. As of July 1998, six other countries had renegotiated their debt.

Besides these cost savings, the active use of DMFAS in debt offices ensures that countries have an up to date database on debt, allowing more effective debt management and better preparation for loan and rescheduling negotiations.

Up to July 1998, six other countries had renegotiated their debts with the Paris Club.

Some countries achieved a real exit from a debt crisis, while others continued to face a lingering debt problem or are considering new debt renegotiations (as in the case of Ecuador).

22. As noted earlier, official debt is renegotiated within the frameworks of the Paris Club and the HIPC initiative, respectively.

24 Collective Action Clauses included in bond or loan contracts would prevent a minority of creditors from blocking negotiations with the debtor.

80. In the case of bonds, there exists no framework for an orderly renegotiation of those debt securities.

UNCTAD has continued to provide support to African and other debtor countries in preparing their negotiations on the rescheduling or restructuring of bilateral official debt in the framework of the Paris Club.

(d) Substantial reduction of existing interest rates and of the costs and commissions paid in debt renegotiation

59. By 8 April 1998, the framework for negotiation of debt restructuring had taken on a form very similar to the plan set up by Mexico as part of the negotiated solution with its creditor banks in 1982.

79. Long term renegotiation of debt owed to commercial banks can take place in the framework of the London Club.

This situation has led to debt crises in almost every developing country, necessitating alleviation or renegotiation of their debt without any lasting solutions being found.

Commercial bank debt is renegotiated within the London Club, while the International Development Association (IDA) Debt Reduction Facility provides funding for the buy back of commercial bank debt of low income countries.

Overview of the GATS negotiations

Doha negotiations and development imperative

Head of Tax Treaty Negotiations, Inland Revenue.

73. The proposal to establish an international bankruptcy court for sovereign debtors that would be empowered to declare a standstill, negotiate a debt restructuring, promote adjustment by the debtor country, organize settlement terms and inject interim finance has been generally dismissed on several grounds.21, 22 First, private creditors would be reluctant to forego their recourse to national courts.

3. States have a duty to negotiate in good faith.

Why do Greece s creditors refuse to move on debt restructuring before any new loans are negotiated? And why do they prefer a much larger new loan package than necessary?

A number of delegations expressed their gratitude to UNCTAD for its helpful work on debt management and in the Paris Club negotiations.

Negotiations on maritime transport had been suspended until the start of the new round of services negotiations.

This week, Greece defaulted on its payments to the IMF, rightly choosing pensions over debt service. The country s creditors should now negotiate a consensual debt reduction through some combination of lower (and fixed) interest rates, reduced face value of debt, and very long maturities.

That arrangement would involve private creditors in negotiating terms of a restructuring the provision of financial support by IMF can improve the bargaining position of the debtor, and combined with the adjustment programme, can signal to the unpaid creditors that their interest is best served by quickly reaching an agreement with the debtor.

A debtor s negotiating strategy is to make creditors believe that a collapse would produce some much bigger catastrophe, which can be avoided only by more concessions and more support. That sense is always more likely when the debtor s action comes without warning the financial equivalent of a pre dawn attack.

On 29 June 2005, the Paris Club creditors announced their agreement to enter into negotiations with Nigeria on a comprehensive exit debt treatment, which would include debt reduction up to Naples terms on eligible debts and a buy back at a market related discount on the remaining eligible debts.

The African Group welcomed the proposal by G8 leaders for 100 per cent cancellation of debt owed by 14 African HIPC completion point countries and the Paris Club negotiations for the comprehensive debt treatment for Nigeria as important steps in addressing the issue of debt sustainability.

The Conference on Disarmament had been given a specific negotiating mandate by the 2000 Review Conference, which it has unfortunately failed to realize, due to continued gridlock over a programme of work.

To be sure, this could weaken a debtor s leverage the promise of future repayment in bringing creditors back to the negotiating table. But it would also demonstrate to old and potential new creditors alike not only a capacity, but also a willingness, to make payments, thereby creating incentives for external actors to support economic recovery.

The review and evaluation of progress in negotiations pursuant to paragraph 15 of the Negotiating Guidelines allow for regular reporting of Members to the Council for Trade in Services (CTS) on the progress in the negotiations, including bilateral negotiations.

In the ongoing GATS negotiations and in the current WTO accession negotiations, discussion on audiovisual services has emerged in the area of distribution services in connection with distribution licensing of rights.

A broad mandate will not prejudice anyone apos s position in the negotiations and will permit those negotiations to begin at once.

Talks with creditors have begun to establish a workable debt strategy.

After protracted negotiations, Paris Club creditors agreed to provide relief that went beyond the 80 per cent reduction under the Lyon terms, including special treatment of post cut off date debt.

45. The rescue is notable in that there was no attempt to restructure the debt profile, probably because debt was largely in the form of bonds that had been widely dispersed among portfolio investors. It would have been extremely difficult to locate the creditors and to organize a mechanism through which restructuring could be negotiated, and the free rider problems would have been uncontrollable.

But of course he did not himself decide on the negotiating mandate.

The consequence was that, between the time the suggestion was made to start negotiations on services and the actual beginning of the negotiations, at least four years were wasted in discussions about the scope of those negotiations.

The CD needs to get back into the business of negotiating disarmament treaties and agreements.

The Conference on Disarmament had been given a specific mandate by the last Review Conference, which it has completely failed to realize.

49. The second prong of the strategy was to deny the non financial private sector any public sector guarantee or financial support, and to thereby force it to negotiate debt restructuring directly with creditors.

20. However, negotiations with those Member States which have provided contingent owned equipment to missions required an upward revaluation of 100 million for that debt.