World Bank To Cancel $37,000,000,000 Debt, page 1

The Washington based World Bank has agreed to clear the debt of seventeen African and Latin American countries. It is hoped that with no debt, poorer countries can put more funds into things like getting more clean water and education. The plan could eventually expand and begin to help forty countries all together.

quote.bloomberg.com
``Countries will now be able to put more resources into programs that directly help those who need it most -- the poor who need better education, better health services and greater access to clean water,'' Wolfowitz said in a statement from the spring meetings of the World Bank and IMF in Washington.

The World Bank and IMF, both based in Washington, will receive compensation from member countries under a plan announced in July that eventually may forgive $57.5 billion in debt. The IMF's cancellation has already been implemented.

Under the World Bank plan, the 17 nations to get immediate cancellation are Benin, Bolivia, Burkina Faso, Ethiopia, Ghana, Guyana, Honduras, Madagascar, Mali, Mozambique, Nicaragua, Niger, Rwanda, Senegal, Tanzania, Uganda and Zambia. Mauritania will qualify after public expenditure reforms, the bank said.

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This is excellent news for the countries involved.

Instead of trying to repay debt to the World Bank, these poor undeveloped countries can begin to help themselves, providing clean water and investing in medical care and education.

I just wonder why this wasnt done years ago?