J2000 SOUTH AFRICA STATEMENT re: CLINTON DEBT ANNOUNCEMENT (fwd)

[Robert Weissman <rob@essential.org>]

03 October 1999

JUBILEE 2000 SOUTH AFRICA PRESS STATEMENT 
ON CLINTON'S DEBT CANCELLATION ANNOUNCEMENT

Since the 1980s, we have heard many grand announcements on debt
"cancellation". Yet the debt crisis in the Third World is greater than
ever. It is therefore with caution that we welcome President Clinton's
announcement of the 100% cancellation of the United States bilateral debt.
We further welcome his stated acknowledgement that comprehensive debt
cancellation is a "moral and economic imperative". The leaders of those
other rich countries that have not yet cancelled bilateral debt must do
the same and scrap the total debt of poor countries. Now is the time to do
it. 

Clinton's announcement weakens those critics who have said that Jubilee
2000's demand for total debt cancellation is economically irresponsible
and impossible. Jubilee 2000 South Africa will continue to insist on 100%
multilateral debt cancellation for Third World countries by the IMF and
the World Bank, without structural adjustment conditionalities. 

Jubilee 2000 is shifting gear and will intensify pressure on apartheid's
bank-rollers to follow Clinton's announcement by immediately scrapping the
apartheid debt. Now is the time for German, Swiss, UK, and US banks that
profited from apartheid to end their odious profiteering and make
reparations for the suffering they sponsored. Why must the victims pay
twice for apartheid? We call on them to cancel the illegitimate apartheid
debt. 

Clinton too, can "do better". The imposition of structural adjustment
conditions attached to the promised 100% bilateral cancellation is not an
effective way to eradicate poverty. It will obstruct real debt
cancellation, increase joblessness, limit delivery of social services, and
deepen poverty and inequality. He also needs to scrap his Africa Growth
and Opportunity Bill which, if it becomes law, will result in even harsher
conditions being imposed on African countries. Jubilee 2000 opposes the
use of debt cancellation to unilaterally impose economic policies that are
detrimental to the poor. 

Still too few countries are being promised cancellation of too-narrowly
selected debts. For a debt-free millennium, Jubilee 2000 calls for the
total cancellation of all Third World debt. Clinton's offer to cancel the
bilateral debt of just 36 countries falls well short of our demand. 

Clinton's annoucement must be in addition to and not replace development
aid. Development aid to poor countries has recently been declining
sharply. If grand debt cancellation gestures are meaningful and not a
charade, then real Jubilee debt cancellation must provide real additional
benefits to the poor. 

Jubilee 2000 has consolidated and strengthened its global network of
peoples' solidarity and this will gain expression in the South South
Summit. Jubilee campaigners and activists from other powerful social
movements from throughout Africa, Latin America, and Asia will meet in
Johannesburg from 18th to 21st November to push for immediate and total
cancellation of Third World debt. 

For more information please contact Jubilee 2000 SA Publicity Officer,
George Dor, at tel. 011 648 7000, or National Secretary, Neville Gabriel,
at tel. 083 449 3934 George Dor 60 Isipingo Street, Bellevue East 2198,
South Africa Tel: (27) (11) 648 7000 Email: george@sn.apc.org

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