[stop-imf] IMF: We have done as much debt cancellation as we can afford to do

[Robert Weissman]

From: Inst. Intern <debtproject@bread.org>

Below is a brief excerpt, dealing with HIPC debt relief, taken from a
transcript of a press conference held yesterday [5/23 -ed.] by IMF
External Relations director Thomas Dawson.  The full transcript is found
at <www.imf.org>.


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QUESTIONER: Yesterday also during Secretary O'Neill's testimony
before Congress, there were several calls from members of
Congress in the sense that it will be better to have a cancellation of
debt instead of a reduction. I wonder if you have a comment on that.
And, also, could you give us an update in the HIPC Initiative?

MR. DAWSON: I was going to note that, from my understanding
that testimony, the debt cancellation was in regard to HIPC and the
debt of the poorest countries. This is an issue that we know that a
number in the Congress, a number of parliamentarians, a number of
nongovernmental organizations feel very strongly.

We are making good progress on the HIPC Initiative. I would note
that the debt--the next step was reached yesterday for Chad, so
that adds another one to our list. In terms of calls for the Fund and
Bank to go further in terms of debt relief, we are very much in the
hands of our shareholders. It is our view that we have done as much
as we can afford to do, and I think generally speaking this is the
view of our shareholders as well.