Turkey welcomed the joint World Bank International Monetary Fund Heavily Indebted Poor Countries Debt Initiative.

Construction fund earnings would be applied to the annual debt service requirement, thereby reducing the net annual debt service to be met by the set aside procedure.

Recently, the Government of Viet Nam, through the Fund, has requested UNCTAD to provide debt management services.

Article 21 In case an enterprise raises debt funds under law in forms of loans, issuing bonds or financial leases and so on, it shall define the purpose of fund raising, make necessary decisions on capital structure in accordance with the fund costs, debt risks and reasonable fund demands and conclude a written contract.

Almost 80 per cent of Africa's debt is owed to official institutions, about one third of which is multilateral debt owed mainly to the International Monetary Fund (IMF) and World Bank.

The Kuwait Fund for Arab Economic Development (KFAED) has contributed to the alleviation of the external debt burden for 14 African countries within the framework of the Highly Indebted Poor Countries (HIPC) Debt Initiative.

A working group led by the resident representative of Uganda is reviewing the debt situation in countries emerging from conflict and discussions were held in June 1998 on the Multilateral Debt Fund for Rwanda.

The International Monetary Fund and the World Bank have been working towards a revised, more forward looking approach to debt sustainability see Operational Framework for Debt Sustainability Assessments in Low Income Countries , paper prepared by the staffs of the International Monetary Fund and the World Bank, Washington, D.C., 28 March 2005.

Fourthly, debt relief has been limited to those highly indebted poor countries which have satisfied International Monetary Fund (IMF) conditions for disbursements.

Zambia welcomes the steps taken by the International Monetary Fund and the World Bank to implement the Heavily Indebted Poor Countries Debt Initiative.

Such initiatives should include efforts by the International Monetary Fund and the World Bank to develop a debt sustainability framework for low income countries.

Some believe that this vacuum is the primary difficulty with the international debt system. Ambitious proposals to redress it, such as a Sovereign Debt Restructuring Mechanism (SDRM) housed at the International Monetary Fund, have always run into political roadblocks.

Debt sustainability and debt relief

It was seeking to reach an agreement with the International Monetary Fund for the inclusion of Nicaragua in the Heavily Indebted Poor Countries Debt Initiative.

The interest rates on the euro denominated sovereign debt of the twelve euro zone governments are all very similar. So the market does not seem to care that countries have different potentials to generate exports to fund the financial flows needed for debt repayments, or different current and projected debt to GDP ratios.

Algeria was also a developing country that had rescheduled its debt and was working on International Monetary Fund programmes, resulting in considerable cuts in social projects.

Some delegations made reference to recent proposals at the World Bank and International Monetary Fund aimed at easing the debt burden of the least developed countries.

6. Welcomes the Heavily Indebted Poor Countries Debt Initiative endorsed by the Interim Committee of the International Monetary Fund and the Development Committee of the World Bank and the International Monetary Fund, designed to enable eligible heavily indebted poor countries to achieve a sustainable debt situation through coordinated action by all creditors on the basis of adjustment efforts by the debtor countries

Obama s breach of Europe s intellectual insularity is all the more remarkable because even the International Monetary Fund has acquiesced in German imposed orthodoxy. As IMF Managing Director Christine Lagarde told the Irish Times A debt is a debt, and it is a contract.

29 See Krueger A. O. Sovereign Debt Restructuring and Dispute Resolution, speech by Anne Krueger, First Deputy Managing Director of the International Monetary Fund, 6 June 2002.

5. Also underlines the importance of efforts at the national level to increase resilience to financial risk, stresses in this regard the importance of better assessment of a country's debt burden and its ability to service that debt in both crisis prevention and resolution, and welcomes the ongoing work of the International Monetary Fund on assessing debt sustainability

7. Also underlines the importance of efforts at the national level to increase resilience to financial risk, stresses in this regard the importance of better assessment of a country's debt burden and its ability to service that debt in both crisis prevention and resolution, and welcomes the ongoing work of the International Monetary Fund on assessing debt sustainability

11. Also underlines the importance of efforts at the national level to increase resilience to financial risk, stresses in this regard the importance of better assessment of a country's debt burden and its ability to service that debt in both crisis prevention and resolution, and welcomes the ongoing work of the International Monetary Fund in assessing debt sustainability

But TLAC is just jargon for saying that these banks should fund themselves with both equity and bail in able debt debt that can be converted to equity (or wiped out) when there is an official resolution event. All this really means is that some debt can fall dramatically in value when government officials pull the trigger.

Also underlines the importance of efforts at the national level to increase resilience to financial risk, stresses in this regard the importance of better assessment of a country's debt burden and its ability to service that debt in both crisis prevention and resolution, and welcomes the ongoing work of the International Monetary Fund on assessing debt sustainability

Neither did the more generous Toronto terms or the additional Naples terms adopted by the members of the Paris Club. The new international debt strategy consisting in the purchase of private debt by public creditors and donors, such as the debt reduction fund for countries which could only receive financing from IDA, had been limited in its scope.

Belgium, Italy, Norway and the United Kingdom of Great Britain and Northern Ireland have also contributed to the Multilateral Debt Trust Fund managed by the World Bank, and Italy and the Russian Federation have entered into a bilateral debt alleviation and cancellation agreement with Burundi

Bringing debt down to the level of long term sustainability through deeper, broader and faster debt relief has been the most ambitious goal of the enhanced Heavily Indebted Poor Countries (HIPC) Initiative launched in 1999 by the International Monetary Fund (IMF) and the World Bank.

13. The praiseworthy initiative of the Bretton Woods institutions to create a multilateral trust fund for alleviating the external debt of the least developed countries had nevertheless fallen short of meeting the expectations of those countries, which had hoped for the cancellation of their debt.

Debt

Debt

Debt?

External debt and debt servicing costs had also risen.

Debt for equity swaps Other debt for development swaps

Most economists failed to foresee the economic dynamics that actually led to the crisis, because they failed to pay enough attention to the rapid increase in US total debt. Instead, they focused exclusively on US foreign debt, ignoring household debt (mortgage and consumer debt), public debt, business debt, and financial debt.

The six year period, during which a country has to adhere to an International Monetary Fund (IMF) programme before debt relief can be granted, is considered far too long.

Welcoming the decision of the International Monetary Fund and the World Bank to undertake a comprehensive review of the Heavily Indebted Poor Countries Debt Initiative as early as 1999,

12. Notes that it is important for the International Monetary Fund and the World Bank to continue their efforts to strengthen the transparency and integrity of debt sustainability analysis and to consider any fundamental changes in countries' debt sustainability caused by natural catastrophes, severe terms of trade shocks or conflict when making policy recommendations, including for debt relief, as appropriate

15. Notes that it is important for the International Monetary Fund and the World Bank to continue their efforts to strengthen the transparency and integrity of debt sustainability analysis and to consider any fundamental changes in countries' debt sustainability caused by natural catastrophes, severe terms of trade shocks or conflict when making policy recommendations, including for debt relief, as appropriate

Limited capacity for debt socialization reflects the EU Treaty s no bailout clause, which bars outright mutualization at the eurozone level of (national) public debt. Moreover, the lending capacity of the new rescue fund, the European Stability Mechanism, is capped at 700 billion ( 905.6 billion), which represents only a fraction of the total public debt of the countries potentially needing financial assistance.

We are not asking for debt forgiveness or debt cancellation.

Overall, short term debt and total debt service also declined.

External debt

Debt relief

External debt