§ 8. Mrs. Maria Fyfe (Glasgow, Maryhill)What recent discussions she has had about the relief of debt; and if she will make a statement. [67511]
§ The Secretary of State for International Development (Clare Short)I have had a number of discussions on debt relief recently, most notably at the annual meeting of the World bank and International Monetary Fund, where I and the Chancellor obtained agreement to a review of the heavily indebted poor countries initiative, and most recently at a meeting with the German Development Minister in Bonn at the end of November. I have also discussed the link between debt relief and poverty reduction with the Synod of the Church of England, and with the two umbrella groups representing British non-governmental organisations. We very much welcome the German initiative on debt, which reinforces our Mauritius mandate by seeking to speed up the implementation of the HIPC initiative, although I remain concerned that debt relief should be more closely linked to poverty reduction programmes. There is a way to go on that.
§ Mrs. FyfeI thank my right hon. Friend for that very comprehensive answer. Does she agree that the Government's success in getting the IMF and the World bank to review the HIPC process must result in speedier implementation in order to help the poor in poorer countries because, so far, progress has been rather too slow?
§ Clare ShortI agree with my hon. Friend. The commitment to a review is very important. We must hold the IMF and the World bank to it, and ensure that it is conducted quickly. As well as speeding up the process, we must ensure that it benefits the poor. The review concerning Uganda, which has just received debt relief, was very disappointing. As a result of the fall in coffee prices, it is as badly off as it was in the first place. The initiative needs modification as well as speeding up.