G-7 pledges to relieve poor nations' debt burden

`Do not delay while poor people continue to suffer': Mandela

ALAN COWELL

THE NEW YORK TIMES

February 6, 2005

LONDON—The world's richest countries agreed formally for the first time yesterday to pursue a 100 per cent write-off in the $70-billion (U.S.) debt owed by the poorest nations to big institutions like the World Bank.

But at a meeting of finance ministers from the so-called Group of 7 major industrialized countries, they failed to resolve differences largely between Britain and the U.S. over plans to raise an extra $50 billion a year in aid to lift African nations in particular out of poverty.

This year Britain is the leader of the richest countries — the United States, Britain, Canada, France, Germany, Italy and Japan — whose presidents and prime ministers meet along with Russian leaders in Scotland next July. The British hosts want the meeting to endorse a plan to relieve African poverty with the same broad sweep and effectiveness as the Marshall Plan after World War II.

They are trying to push the issues of African debt and poverty to the top of the agenda. But unanimity is proving elusive, despite an appeal Friday for action by Nelson Mandela, the former South African president.

"Do not delay while poor people continue to suffer," said Mandela, who had compared the fight against poverty to the battles against slavery and apartheid.

In a communiqué after their two-day meeting, the G-7 noted that individual member countries had "significantly reduced" the bilateral debt owed by 27 of the world's poorest and most indebted nations to individual creditor nations. "However, we recognize that more still needs to be done," the statement said, promising "our willingness to provide as much as 100 per cent multilateral debt relief."

At a news conference, the British chancellor of the exchequer, Gordon Brown, said: "This is the first time as much as 100 per cent debt relief has ever been detailed in a G-7 communiqué. It is the rich countries hearing the voices of the poor."

Before heading for London this weekend, Finance Minister Ralph Goodale said Canada would kick in $172 million over the next five years if a plan to ease debt problems of the poorest nations is adopted.

John B. Taylor, the U.S. Treasury undersecretary, said the Bush administration had been supporting the 100 per cent debt write-off "for quite a while."

But, at a separate news conference, Taylor repeated that the United States would not support either of two sets of proposals put forward by Britain and France to raise money for the relief of African poverty. He also indicated that U.S. proposals for a single, total and immediate cancellation of poor countries' multilateral debt had not won unanimous approval here.

Britain is promoting a so-called International Finance Facility, which would raise funds for poverty relief on international money markets. France has proposed a series of international taxes.

In their communiqué, the G-7 ministers said they would work toward resolving differences before the July meeting.

NOTE:

What I sense in this is the ultimate subjugation of the world's nations through economic means

Did you notice this line?....

This year Britain is the leader of the richest countries — the United States, Britain, Canada, France, Germany, Italy and Japan — whose presidents and prime ministers meet along with Russian leaders in Scotland next July.

So is it the G-7 again plus Russia?  I only point this out to again bring to the forefront the mis-information surrounding this group of countries.

OR   US