HC Deb 28 July 2000 vol 354 c964W
Dr. Tonge

To ask the Secretary of State for International Development how much additional funding she estimates will be provided for the United Kingdom's unilateral debt cancellation initiative between 2000 and 2003. [133429]

Miss Melanie Johnson

I have been asked to reply.

Under the UK's policy of 100 per cent. debt forgiveness once countries have reached decision point under the Heavily Indebted Poor Countries (HIPC) Initiative, they can immediately stop making payments on all their debts outstanding to the UK Government.

So far nine countries have reached their decision point, of which eight owed money to the UK. For these countries all payments to the UK Government have already ceased. In total the debt relief to these countries afforded by the HIPC initiative and the Government's 100 per cent. debt relief policy will add up to £241 million.

A further 11 countries are expected to reach decision point by the end of 2000. If they did the total amount that the UK Government would be writing off for these 20 countries would be £659 million. The total due for payment between 2000 and 2003 depends entirely on how quickly countries reach decision point, and hence how many benefit from the UK's policy of 100 per cent. debt relief.

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