TEAR Fund New Zealand

For Immediate Release: 13/06/05

TEAR Fund Congratulates G7 for Debt Reduction Deal, Warns More Must be Done

A decision to free 18 of the world's poorest countries from the shackles of debt is being hailed by aid organisation TEAR Fund New Zealand as a "historic action". However, TEAR Fund warns more must be done to eliminate poverty.

On Saturday the finance ministers of the G7 industrialised nations (the G8 minus Russia) struck a deal worth $US40 billion ($56.8 billion) to immediately cancel the debt of 18 developing nations, 14 of them in Africa. Another 20 countries are close to a deal to cancel their debt.

"G7 leaders are to be congratulated for taking this historic action. The next step is for all nations to fulfill their agreed obligation of ensuring that by the year 2015, 0.7 percent of Gross National Income goes to eliminating third world poverty," says TEAR Fund New Zealand's Executive Director Stephen Tollestrup.

"It should not be forgotten that behind this historic event has been the committed lobbying of ordinary citizens the world over. People can and do make a difference."

ENDS

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