[stop-imf] Global Jubilee campaigns to creditors: Don't accept $12 bn from Nigeria

[Robert Weissman]

From: Neil Watkins <neil@jubileeusa.org>

>Debt campaigners meeting at the EURODAD conference in Ireland this week ha=
ve launched a campaign calling on the world's richest governments not to ac=
cept $12 billion in debt repayments in the next six months from Nigeria, on=
e of the world's poorest nations. Jubilee USA joined with 47 other debt and=
 development groups to call on creditors to not accept the payments, instea=
d using the money to fight AIDS, provide education and clean water in NIger=
ia. See the petition below, followed by an article in today's Guardian news=
paper about the campaign.
>
>Most of Nigeria's debt is owed to the UK, France, the Netherland and Germa=
ny. 3% of Nigeria's debt is owed to the US, from the Export-Import Bank. Ev=
en though this is a relatively small portion, we are preparing a letter thi=
s week to EXIM, Treasury, and Congressional aides requesting that the US no=
t accept Nigeria's payment on the grounds that the funds should go for soci=
al needs in the country.
>
>If you'd like more information or to help with this campaign, please conta=
ct neil@jubileeusa.org or debi@jubileeusa.org.
>
>Cheers,
>Neil Watkins
>Jubilee USA NEtwork
>
>[Article which appeared in the Guardian on the issue in the UK follows bel=
ow]
>
>International civil society statement on
>Nigeria?s Paris Club debt agreement
>2 December 2005
>
>Preliminary:
>On 20th October 2005, Nigeria reached an agreement over its $30.4 billion =
?debt? to 15 Paris Club members. Under the deal, $18 billion will be cancel=
led. But Nigeria must pay the remaining $12.4 billion to the creditors upfr=
ont (between October 2005 and March 2006).
>
>Statement:
>It is obscene that some of the world?s richest countries are taking over $=
12 billion from Nigeria, a country where more than 80 million people live o=
n less than $1 a day. Nigeria?s money must be used to improve education, he=
althcare and water for its citizens, not to subsidise wealthy countries.
>
>In any case, rich countries have no legitimate claim to this money. Nigeri=
a has already paid off more than it originally borrowed, but is still told =
it owes vast sums because of the huge build up of interest under oppressive=
 former regimes. How can rich countries justify demanding billions from one=
 of the world?s poorest countries in payment for ?debts? that are anyway il=
legitimate?
>
>The G8 has claimed that this is a year of Africa. Under this deal, Nigeria=
 is paying more to the rich world in six months than the 2005 Gleneagles G8=
 debt deal will deliver for Africa in a decade. Justice demands that this m=
oney is returned as soon as possible.
>
>
>Signatories (48 in total)
>
>International networks:
>AFRODAD ? African Network and Forum on Debt and Development
>EURODAD ? European Network on Debt and Development
>LATINDAD ? Latin American Network on Debt and Development
>Jubilee South, international
>
>National campaigns and organisations, from 28 countries:
>Centre National de Coop?ration au D?veloppement, Belgium
>Jubil?o Bolivia, Bolivia
>Caisse des Producteurs de Burkina Faso, Burkina Faso
>Halifax Initiative Coalition, Canada
>North-South Coalition, Denmark
>Plate-forme Dette et D?veloppement, France
>ALPE, Ghana
>Ghana Society of the Disabled, Ghana
>Erlassjhar.de (Jubilee Germany)
>FOSDEH, Honduras
>International NGO Forum on Indonesian Development
>Christian Aid Ireland
>Debt and Development Coalition Ireland
>Jubilee Ireland
>Solidarity Africa Network, Kenya
>Conseil de Concertation et D?Appui aux Organisations Non Gouvernementales =
(CCA-ONG), Mali
>Development Indian Ocean Network, Mauritius
>Both Ends, Netherlands
>Jubilee Netherlands
>View Point, Netherlands
>X min Y Solidarity Fund, Netherlands
>Coordinadora Civil Nicaragua
>African Network on Environmental and Economic Justice, Nigeria
>Jubilee Nigeria
>SLUG (Jubilee Norway)
>Jubil?o Peru, Peru
>Focus on the Global South, Philippines
>Freedom from Debt Coalition, Philippines
>Polish Humanitarian Organisation, Poland
>Jubilee South Africa
>Jubilee Scotland
>Observatorio de la Deuda en la Globalizacion, Spain
>ATTAC Sweden
>Diakonia, Sweden
>Uganda Debt Network
>ActionAid UK
>Christian Aid UK
>Jubilee Debt Campaign UK
>World Development Movement, UK
>World Vision UK
>Jubilee USA Network
>Oil Change International, USA
>Civil Society for Poverty Reduction, Zambia
>Jubilee Zambia
>
>+++++++++++++++++++
>
>Britain criticised for accepting Nigerian debt repayments
>? ?1.7bn windfall is more than African aid budget
>? Critics want Brown to lead the way in refusing money
>
>Ashley Seager
>Monday December 5, 2005
>
>Guardian
>
>The British government has drawn sharp criticism from development charitie=
s for taking a debt repayment from Nigeria which dwarfs the UK's entire ann=
ual aid budget for the African continent.
>The Group of Seven leading industrial countries, which met in London over =
the weekend, are soon to receive $12.4bn (?7.2bn) from Africa's most populo=
us nation as part of a debt rescheduling package agreed this year by the Pa=
ris Club of creditor countries. As Britain is Nigeria's largest creditor, i=
t is set for a windfall of ?1.7bn in the coming months - considerably large=
r than the ?1bn-a-year portion of the European Union rebate that Tony Blair=
 has offered to give up.
>
>Charity Jubilee Debt Campaign says the payments mean the G7 will receive m=
ore in six months from Nigeria than the 2005 Gleneagles G8 deal will provid=
e to poor countries in a decade. The G8 is the G7 plus Russia. Trisha Roger=
s, Jubilee's director, said: "It is obscene for G7 countries to take billio=
ns of dollars from one of the poorest countries on earth. In particular thi=
s means the UK will take from Nigeria almost exactly twice as much as it is=
 giving in aid to the whole of Africa in 2005." She urged Britain, which ch=
airs the G7, to take the lead in refusing to accept the payments.
>
>Gordon Brown, who has been for some years one of the key forces behind gre=
ater debt relief for poor countries, said after the G7 meeting that he thou=
ght it fair that Nigeria pay some of its debts given that it had a huge win=
dfall from the doubling of oil prices over the past 18 months. Nigeria is a=
 significant oil producer and a member of the Opec cartel.
>
>"The key issue is that Nigeria has substantial oil revenues this year. Nig=
eria wished to write off its debts ... it did a deal with the Paris Club th=
at it would have some of them written off if it agreed to pay some of them,=
" he said.
>
>Under the terms of the Paris Club deal, Nigeria will see $18bn of its tota=
l of $30bn cancelled on condition that it pays off the remaining $12.4bn im=
mediately out of its bumper oil revenues. Half is to be paid in the coming =
days and the rest in March.
>
>But the Jubilee Debt Campaign argues that Nigeria is one of the world's po=
orest countries - one in five children does not live to the age of five - a=
nd has already paid off $17bn of debt. The rest - consisting of penalties a=
nd interest - was run up by previous dictators.
>
>The country has a democratic government which, Jubilee says, has made clea=
r steps in fighting corruption and was praised by the World Bank for its tr=
ansparency and willingness to commit future funds to the poor.
>
>All proceeds from debt relief have been earmarked for poverty reduction an=
d will be tracked through the World Bank-supported Virtual Poverty Fund.
>
>Reverend David Ugolor of Jubilee Nigeria said: "This money should be helpi=
ng the 80m Nigerians who live in extreme poverty, not subsidising rich coun=
tries like the UK. If they take this money, they will be denying our people=
 access to education, healthcare and water. We call on the UK and other ric=
h governments not to take the money. If they do, we will hold them responsi=
ble for condemning many of our poor to continued suffering and death."
>
>But Mr Brown insisted the debt deal, which will save Nigeria $1bn a year i=
n debt servicing cost, was one that Nigeria was happy with and willingly si=
gned.
>
>"Nigeria is not one of the heavily-indebted poor countries (HIPC) and has =
lots of potential wealth," he said. As a result of the Gleneagles debt deal=
, he said, up to 40 HIPC countries would be seeing significant reductions i=
n their debts.
>
>At the end of 2004, Nigeria's external debt came to $36bn, of which $30bn =
was owed to the Paris Club and $6bn to multilateral lenders such as the Wor=
ld Bank and African Development. Nigeria is the world's eighth largest oil =
exporter and pumps about 2.4 million barrels per day of crude. It hopes thi=
s figure will rise to 3.5m bpd within five years in response to the surge i=
n global prices over the last two years, which has seen oil prices double t=
o close to $60 a barrel, bringing extra inflows of money into the African s=
tate.
>
>Guardian Unlimited ? Guardian Newspapers Limited 2005
>
>
>Neil Watkins
>National Coordinator
>Jubilee USA Network
>(202) 783-0129
>www.jubileeusa.org
>
>
>