| Canada
stops collecting debt payments from Ghana
OTTAWA
- Canada's Finance
Minister Paul Martin has been demonstrating leadership in the international
community with his approach to countries with unsustainable debt burdens.
At the IMF and World Bank meetings in Prague in September, 2000.
Canada urged all bilateral creditor nations to support a moratorium on
debt payments from the world's heavily indebted poor countries (HIPC).
In December, 2000, Canada made good on that pledge. As of January
1, 2001, Canada has stopped collecting bilateral debt payments from eligible
heavily indebted poor countries.
Moreover, Canada is also extending debt
relief to other countries with unsustainable debt burdens, which, for one
reason or another, chose not to request HIPC debt relief - such as Ghana.
Ghana's $18.2 million debt to Canada is eligible for the moratorium.
Countries eligible for this relief must
be committed to the principles of peaceful development and good governance,
including the protection of human rights, and the demonstration of progress
in preparing and implementing poverty reduction strategies.
Canada will refrain from collecting these
debt payments as long as the countries carry the reform process through
to completion - at which time their debts will be completely forgiven.
In financial terms, the moratorium initiative will save the eligible countries
about $75 million in 2001 alone - funds that can be re-deployed to key
social priorities such as health and education.
The newly elected President of Ghana,
Mr. John Agyekum Kufour, is able to take advantage of this unique opportunity
as he implements his government's agenda.
"I was very pleased to participate in
this initiative with the Honourable Paul Martin, Minister of Finance.
I believe this is a great step forward," said Roy Cullen, Member of Parliament
for Etobicoke North and Parliamentary Secretary to the Minister of Finance.
For more information please contact:
Roy Cullen, M.P.
(613) 995-4702 |
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