News & Analysis: G20

G20 and development

“The G20 in both the finance and Sherpa track should develop a set of guiding principles for engaging with low-income and fragile states in this post-COVID environment. The focus should be on mitigating the development impacts of the pandemic in both social, economic and security terms.”

via SAIIA

Zambia’s default shows new approach needed for Chinese debt

“Zambia’s debt default shows that Western lenders need to develop new ways of factoring existing Chinese loans into their decisions. In essence, the long-term consequence of Zambia’s default may be to deter Western lending to countries where China is already a creditor.”

via The Africa Report

G20 lays out wider COVID-19 debt relief

“G20 finance ministers have agreed for the first time on a new joint framework for restructuring government debt, anticipating that the coronavirus pandemic will leave some poor countries in need of deep relief.”

via Sunday Times

World’s poorest countries get fresh debt relief hope from creditor nations

“The G20 group of the world’s largest economies and the Paris Club group of lender nations endorsed a new common framework for debt relief on Friday. It aims to allow indebted poor nations to apply for debt relief including write-offs while ensuring that all creditors negotiate on the same level playing field.”

via Financial Times

African debt to China: ‘A major drain on the poorest countries’

“China’s share of bilateral debt owed by the world’s poorest countries to members of the G20 has risen from 45 percent in 2015 to 63 percent last year, according to the World Bank. For many countries in sub-Saharan Africa, China’s share of bilateral debt is larger still.”

via Financial Times

G20 readies limited extension of debt relief for poorest nations

“The G20 group of wealthy nations is preparing to extend its offer of debt relief for the world’s poorest countries into next year, but faces a growing chorus of criticism for its limited ambition in the face of a mounting crisis in emerging economies.”

via Financial Times

Emerging economies plead for more ambitious debt relief programmes

“Financial assistance for cash-strapped governments has so far fallen well short of what is needed — and of what advanced economies have been willing to do for themselves — according to critics.”

via Financial Times

Ghanaian finance minister: Africa deserves more COVID-19 help

“Africa has recorded more than 1.5m cases and counting, though in terms of infections and deaths, we have fared better than most regions. Our economies, however, have not been spared. Across the continent, governments are facing falling revenues, rising expenditures, increasing debt distress, and significant reversals in development indicators.”

via Financial Times

Conflict during COVID-19: Averting a legitimacy and debt crisis in Africa?

“The combination of the COVID-19 pandemic, rising conflict, and escalating debt in Africa is a toxic cocktail that could soon implode. Governments and multilateral lenders need to work out pragmatic ways to neutralise and navigate out of the crisis.”

via International Growth Centre

Debt Relief for Poor Countries: Three Ideas Whose Time Has Come

“There are three critical and urgent issues that should rise to the top of the agenda for the upcoming meetings of the G20 and the IMF and World Bank: making temporary debt service standstills work for poor countries with demonstrable need; shifting into high gear for IMF finance; and making IMF finance contingent on private creditor participation in debt restructurings.”

via Center for Global Development