Commission for Africa urges further action on debt

Jubilee Debt Campaign is calling on Tony Blair to meet the challenge laid down by the Commission for Africa's proposals on debt cancellation - and to end once and for all the practice of using debt relief as a tool for imposing economic policies on Africa's most impoverished nations.

The Commission for Africa report, Our Common Interest, was launched across the world on Friday 11th March. Its recommendations go beyond the current proposals for debt relief being put forward by the UK and other governments, endorsing many of the calls of debt campaigners as well as criticisms of debt relief so far. The report recognised that debt relief is hugely important for Africa, but "has not been wide enough, or deep enough". The Commission therefore recommended:

• 100% debt cancellation, "as soon as possible", for all sub-Saharan African countries that need it to meet targets on reducing poverty.
• A "transparent debt compact" as the means for delivering debt cancellation.
• Cancellation must also be offered to low-income countries currently excluded from the Heavily Indebted Poor Countries (HIPC) process, such as Nigeria.
• The "key criterion" for debt relief should be that "the money be used to deliver development, economic growth and the reduction of poverty for countries actively promoting good governance."

The report also echoed the calls of the Jubilee movement in stating that the measures proposed are intended "to clear the slate for a fresh start."

In response, Jubilee Debt Campaign is insisting that:

• Any new debt compact must be created rapidly, and not become a reason for further delay.
• Any debt cancellation process must be genuinely fair and transparent, and not compromised by being controlled by those institutions that have failed to deliver in the past. The proposals for reform of the International Monetary Fund and the World Bank are therefore vital; but potentially also a further source of delay.
• The report's recognition that conditionality must be reduced and country ownership enhanced, must mean in practice that debt relief is no longer used as a tool for imposing harmful economic policies on poor countries.

It now remains to be seen whether the UK and other G8 governments will live up to the challenges set. Jubilee Debt Campaign is continuing to lobby G8 leaders and finance ministers, and UK Members of Parliament, to ensure that our demands are heard.

The Commission's recommendations on debt reflect many of those contained in the report produced by Jubilee Debt Campaign on behalf of the All Party Parliamentary Group on Heavily Indebted Poor Countries as a submission to the Commission for Africa, entitled If not now, when?