Low-income countries with high levels of debt face a dilemma when considering new financing. Additional funding is needed to meet key development objectives, but too much new financing in the form of debt can exacerbate debt problems. Countries that borrow too much – even on concessional IDA terms – can quickly find themselves facing rapidly rising debt ratios that could threaten debt sustainability in the future.
CGD Policy Blogs
Every developed country was once a developing country; every rich country was once poor. In other words, we can relate to the experience of today’s poor countries because we’ve been there, done that. The better we understand what Americans needed back then, the better we will understand what citizens of today’s poor countries need from us now.
On May 21, the SFRC marked up the MCA bill. "Marking up" is the process in which the members of the committee have the opportunity to add amendments to the bill being proposed by the chairman, and the committee votes whether or not to adopt the amendments.
On November 25 the Bush administration announced new details for implementing the Millennium Challenge Account. Overall, the announced steps are very positive. They underscore the administration’s commitment to making this new initiative work effectively, both in terms of full funding and in reorganizing the way that aid is delivered.
U2 Front Man Bono and US Treasury Front Man Paul O’Neill may have had a few differences during their Africa tour, but they clearly agree that Africa needs increased market opportunities.
AGOA took effect January 2001 to allow qualifying sub-Saharan African countries to export qualifying goods duty free to the US. The act was expressly designed to "increase trade and investment between the USA and SSA." The evidence over the short time since it was enacted reveals that:
Aware of the crucial importance for Latin America of reaching a prompt and effective solution to the current financial problems in Argentina, this statement reflects the assessment and recommendations of the Latin American Shadow Financial Regulatory Committee (LASFRC) for moving towards that end. The statement has three parts. First, it identifies the major features and problems facing the Argentine banking system. Second, it assesses alternatives for crisis resolutions. Third, it advances on general lessons applicable to the region.