Sunday, April 14, 2024
spot_img
HomeNewsGlobal NewsGSDR discusses debt sustainability and debt restructuring challenges

GSDR discusses debt sustainability and debt restructuring challenges

USA  / INDIA – The Global Sovereign Debt Roundtable (GSDR) met April 12, and discussed debt sustainability and debt restructuring challenges and ways to address them. At the end of the meeting, the International Monetary Fund (IMF) managing director Kristalina Georgieva, World Bank Group president David Malpass and Indian minister of finance Nirmala Sitharaman, co-chairs of the GSDR, released the following statement.

Sovereign Debt Roundtable #GSDR meeting Washington DC, April 12, 2023

“The Global Sovereign Debt Roundtable (GSDR) met discussed debt sustainability and debt restructuring challenges and ways to address them. We are grateful to all the participants that included Paris Club and non-Paris Club creditors, debtor countries, and representatives of the private sector. The discussion focused on the actions that can be taken now to accelerate debt restructuring processes and make them more efficient, including under the G20 Common Framework.

“We agreed on the importance to urgently improve information sharing including on macroeconomic projections and debt sustainability assessments at an early stage of the process. The IMF and World Bank will rapidly issue staff guidance on information sharing at each stage of the restructuring process.

“The meeting discussed the role of Multilateral Development Banks (MDBs) in these processes through the provision of net positive flows of concessional finance. The International Development Association’s (IDA) provision of positive net flows and the ex-ante implicit debt relief through increased concessionality and grants to countries facing higher risks of debt distress was welcomed.

“To clarify key concepts to support predictability and fairness of debt restructuring processes, a workshop will be organized in the next weeks on how to assess and enforce comparability of treatment. Moreover, further work will be undertaken on principles regarding cut-off dates, formal debt service suspension at the beginning of the process, treatment of arrears, and perimeter of debt to be restructured, including with regards to domestic debt. This work will also help in clarifying potential timetables to accelerate debt restructurings.

“The IMF, World Bank and the G20 Presidency will continue to work closely together and with other partners to further support the international response to current debt challenges.”

IMF Communications Department

spot_img
RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

spot_img
spot_img
spot_img

Caribbean News

Haiti’s agency vows talks with gangs, seeks disarmament

- Government appointee believes Wyclef Jean's Role could be crucial for disarmament and peace By Joseph Guyler C. Delva PORT-AU-PRINCE, Haiti, (HCNN) - A government-appointed agency...

Global News

Worsening hunger grips West and Central Africa amid persistent conflict and economic turmoil

DAKAR, Senegal, (WFP) – Nearly 55 million people in West and Central Africa will struggle to feed themselves in the June-August 2024 lean season,...