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RT @BankTrack: BankTrack has signed an open letter calling on the #IMF to ensure banks not people take the hit over secret loans to Mozambi…
Mozambique's debt crisis deepens as it defaults on a $119 million payment on a loan arranged by Credit Suisse Group: https://t.co/4RVeOvTHco
Mozambican campaigners demand cancellation of secret debt before the IMF lends again https://t.co/59LuKDcdNr
World Bank's Jim Yong Kim says the days of African debt crises over. Meanwhile,Ghana and Mozambique in debt crisis.. https://t.co/YEGf4nf9Lz
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The new developing world debt crisis

  • A new debt crisis has begun in impoverished countries. The UK needs to take responsibility now for the debt contracted under English law.

Read the 4 page briefing here

Summary

A new debt crisis has begun in impoverished countries, with Mozambique and Ghana unable to pay debts.

Unless dealt with effectively, the crisis could cause increasing poverty and declining public service provision, as happened in the 1980s and 1990s.

The crisis comes from a boom in lending and borrowing since the global financial crisis, followed by the crash in the price of commodity exports.

Structural changes are needed to the global economy to prevent the cycle of crises, including better regulation of lenders, tax justice and enabling countries to be less dependent on commodity exports.

But the UK needs to take responsibility now for the large amount of debt contracted under English law

Read the 4 page briefing here


Countries

Ghana, Mozambique, United Kingdom
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Jubilee Debt Campaign's registered charity number is 1055675