Third World Debt

HC Deb 26 April 1990 vol 171 cc307-8W

20. Mr. Worthington

To ask the Chancellor of the Exchequer what amount of debt forgiveness to assist the Third world he anticipates will be generated by the provision on sovereign debt in his Budget.

Mr. Lilley

The proposals now in the Finance Bill are aimed at spreading the cost of tax relief to the Exchequer, and giving more certainty to the calculation of that relief. Any decision to forgive debt will be for the banks to make based on their commercial judgment.