§ Matthew TaylorTo ask the Chancellor of the Exchequer what estimate he has made of the percentage of countries eligible for additional relief under the HIPC initiative that reached their decision points by 1 January 2001; and if he will make a statement. [5402]
§ Mr. BoatengBy 1 January 2001, 22 countries had reached their Decision Point under the enhanced HIPC initiative. They have had $53 billion in debt relief agreed, which will reduce their debts to below the developing country average. These 22 countries represent 80 per cent. of the 27 HIPCs eligible for debt relief at that time, thus meeting and exceeding the Treasury/Department for International Development PSA target. Of the 41 countries on the list of potentially eligible HIPCs, four have debts which will be below the level requiring additional debt relief (Angola, Kenya, Vietnam, Yemen), two had not opted for debt relief (Laos and Ghana—though Ghana did then opt for debt relief later in 2001), and at least eight countries were conflict affected and hence not able to receive debt relief as the benefits of debt relief could not be shown to go to poverty reduction rather than war (Burma, Burundi, Democratic Republic of Congo, Ethiopia—note that Ethiopia has since signed a peace agreement to end its conflict—Republic of Congo, Liberia, Somalia and Sudan).