Press Statement
For immediate release
Monday 13 June 2005
Debt cancellation a glimmer of hope
Jubilee Aotearoa, New Zealand’s Debt Action Network, congratulates the G8 Finance ministers on offering a glimmer of
hope to some of the world's poorest countries unfairly burdened by debt.
Over the weekend, G8 Heads of Government stated a commitment to 100% debt cancellation for 18 of the world’s poorest
countries. The debt relief however, falls short of what the non-governmental community, including that of New Zealand,
has called for.
“The G8 commitment could make a real difference to the 18 countries that will be entitled to debt relief – the move is
significant and sets a standard for future efforts on debt. However, this relief is only being offered to those
countries which have met the completion point in the Heavily Indebted Poor Countries (HIPC) initiative, and there are
over 40 other heavily indebted countries also in a desperate situation which G8 leaders should not ignore”, said Jubilee
Aotearoa spokesperson, Gillian Southey.
“Even those countries which are included in the deal are still likely to be subject to conditions laid down by lending
agencies such as the World Bank and IMF, including opening up markets to foreign investment. These free trade policies
are shown to often work against the interests of local economies and local people, especially the poor”, said Ms
Southey.
“Debt cancellation is important but it is just one aspect of what needs to be a multi-tiered approach. Before there is
genuine poverty alleviation, or any hope of reaching the Millennium Development Goals, G8 leaders also need to commit to
increased levels of aid, and to a fair global trading system which benefits the poor. Leaders also need to rectify
unfair and imbalanced lending practices that have been responsible for the creation of crippling debt for many countries
in the first place”, she said.
ENDS
Notes to Editors
- Jubilee Aotearoa is made up of the Anglican Social Justice Office, Arena, Caritas, Christian World Service, Council
for International Development, Development Resource Centre, Latin America Committee, Oxfam New Zealand, Student
Christian Movement, Tear Fund, Trade Aid, and World Vision and many concerned individuals. Its website is:
www.debtaction.org.nz
- To mark the millennium 24 million people (63, 847 of whom were from New Zealand) signed the international Jubilee 2000
petition calling for total debt cancellation for 52 indebted countries and an end to harmful economic conditions like
privatisation and trade liberalisation. They owe a total of $US 375 billion but will never be able to repay it. The
poorest people in these countries are facing increasing poverty, little or no healthcare and limited or no access to
education.
- For further information on local campaigns to reduce poverty visit the Aotearoa New Zealand mobilisation of the Global
Call to Action Against Poverty http://www.makepovertyhistory.org.nz
- For a full transcript of the Bush / Blair press conference on the G7/8 where Bush states they are only interested in
supporting countries with “open economies and open markets” visit: http://www.scoop.co.nz/stories/WO0506/S00119.htm
ENDS