Debt Déjà-Vu All Over Again?
February 9, 2010
In 2005, the G-7 led the international financial institutions to cancel 100 percent of their outstanding debt claims on heavily indebted poor countries. But high World Bank and AfDB lending to poor countries and possibly overconfident growth projections have raised concerns about a renewed debt crisis. Benjamin Leo, who was with the U.S. Treasury during the inception and implementation of past debt relief efforts, suggests steps for avoiding debt déjà-vu.