Cologne Agreement a Disaster: IMMEDIATE ACTION REQUIRED!

[Robert Weissman <rob@essential.org>]

The following comes from the 50 Years is Enough Network. It gives exactly
the right assessment of the hype surrounding supposed debt relief measures
announced at the IMF/World Bank annual meetings. We'll get more detailed
analyses out soon, including concerning Clinton's announcement of
cancellation of the poor country debt owed to the United States.

Robert Weissman
Essential Information			|   Internet:	rob@essential.org


September 30, 1999

Dear 50 Years Is Enough Network Activists/Friends,

Today's headlines may be giving many a false sense of success. 

Yes Clinton did announce a $1 billion bilateral debt cancellation package
in his speech at the Bank & Fund Annual Meetings (speech under separate
cover)...

HOWEVER, the annual meetings reached an agreement -- (i) rename ESAF, the
structural adjustment facililty and call it "Poverty Reduction and Growth
Facility" which would be administered jointly by the Bank and the Fund
(wolf in sheep's clothing); (ii) to give the IMF new powers and mandate
involving it in implementation of poverty reduction measures and in
defining poverty reduction; (iii) refinance Poverty Reduction and Growth
Facility aka ESAF; (iv) affirms imposition of structural adjustment
programs, etc.  

It is a good thing that Clinton announced/agreed to cancel the debt owed by
the
most impovershed to the United States, however as it has been said before
"the devil is in the details".  Given past experiences, many of us expect
that the terms and conditions of this "debt plan" will be problematic if
not totally unacceptable to the people who live and die in indebted
countries because of the debt.

At a meeting last evening of Jubilee 2000 coalitions in Washington for the
annual meetings and others the statement below was drafted, agreed on, and
signed by the folks who were present.  The 50 Years Is Enough Network has
signed on and I encourage all of you to sign on as well.  The purpose of
this document is to provide an immediate response to the statements from
the annual meetings and acknowledge the action taken by the finacial
instituttions and the Administration.

I fully expect that there will be a more detailed and explict statement
being circulated in the next day or so.  I will circulate that immediately
its available.


In Peace & Solidarity,

Njoki


===============================================

Statement on World Bank and IMF meetings by Jubilee 2000 campaigns in
Washington 


September 29, 1999

Jubilee 2000 Statement following the Annual Meetings
of the International Monetary Fund and the World Bank in Washington, DC

The agreement on debt reduction made at the Annual Meetings of the
International Monetary Fund and the World Bank in Washington this week does
not meet the demands of the Jubilee 2000 international movement, as set out
in its Rome Declaration of November 1998.

In particular, we reject the conditions set for debt cancellation and the
enhanced role of the international financial institutions in imposing and
policing the implementation of those conditions.  Furthermore, the level and
breadth of the proposed debt cancellation is woefully inadequate.  The
Declaration is attached.

We call on leaders to recognize the urgency of the debt crisis and to meet
in order to address the need for definitive debt cancellation before the end
of the Millennium.

Signed
(Alphabetical listing of organizations, each followed by the representing
individual):

 Campana "Deuda Externa, Deuda Eterna?", Spain
	Jaime Atienza

 Jubilee 2000 Coalition, United Kingdom
	Adrian Lovett

Jubilee 2000 Finland
	Riikka Kamppi

Jubilee 2000 Norway
	Kjetil G. Abildsnes

Jubilee 2000 Peru
	Humberto Ortiz

Jubilee 2000 South
	Alejandro Bendana

Jubilee 2000/USA Campaign
	Marie Dennis

Nicaragua Jubilee 2000 Coalition
	Carlos Pacheco

Also present and signing were:

ASEED Europe
	Johan Fryns

Cooperativa de Servicios Multiples, Campesinos Activos de Jalapa, Nicaragua
	Cornelio Rivera Centeno

The Development Gap
	Doug Hellinger

50 Years is Enough Network
	Njoki Njoroge Njehu

Haiti Reborn/Quixote Center
	Melinda Miles

Maryknoll Affiliates
	Jack Moynihan

Quest for Peace/Quixote Center
	Tammy Williams

					Washington, DC
					September 29, 1999


==================

Rome Declaration

A Jubilee Call for debt cancellation and economic justice

At the dawn of the third millennium people all over the world hear the
Jubilee call for a new beginning, aware that two thirds are impoverished by
the global economic system. People have transformed the world before and it
is time to do so again. Nourishing hope, we continue in our determination to
overcome world-wide injustice to establish equitable relationships between
all who share this planet. As one necessary step, we are committed to
justice in resolving the debt crisis. We insist that current initiatives for
debt relief are not just, comprehensive, or effective in addressing the
problems of the debt crisis and of development.

We are gathered in Rome as 38 national Jubilee 2000 campaigns from all
continents and 12 international organisations. We come from diverse contexts
and experiences combining our efforts to participate in a common movement
for debt cancellation: Jubilee 2000. Our diversity is a strength in this
campaign.

We are united in the call for debt cancellation by the year 2000, including:

1) Unpayable debt, which is debt that cannot be serviced without placing a
burden on impoverished people.

2) Debt that in real terms has already been paid.

3) Debt for improperly designed policies and projects.

4) Odious debt and debt incurred by repressive regimes.

Creditor governments, international financial institutions and commercial
banks, which are chiefly responsible for the debt crisis, should not set the
conditions for debt cancellation. Civil society in the South must play a
significant and influential role in a transparent and participatory process
which will define and then monitor the use of resources released by debt for
the benefit of the impoverished.

Lending, borrowing, and debt negotiation must reflect a just relationship
between debtors and creditors. Transparent and independent arbitration
should be available to cancel debt.

This is a call to urgent action. Lives have been destroyed and damage has
been done. On the eve of the new millennium, the time for a new beginning is
now.

Rome, 17 November 1998
(Adopted at the first Jubilee 2000 international conference, Rome, 17
November 1998)
=====================