The Jubilee Blog

Time Has Come for African Debt Forgiveness

By ORAN P. SMITH - Guest Columnist Published in The State, Columbus, South Carolina.
Jun. 24, 2008
Last month, the U.S. House of Representatives took a huge step in the fight against global poverty by passing the Jubilee Act for Responsible Lending and Expanded Debt Cancellation, a plan to lift the burden of debt from desperately poor countries, especially in Africa.

The idea of “Jubilee” comes from Leviticus 25, where Moses periodically proclaimed a “Jubilee Year” in which debts were forgiven and slaves were freed. Clearly, debt cancellation has roots in faith, but it is a fiscal and national security matter as well as a moral one. We seek cancellation of illegitimate debt, the tab racked up by past corrupt regimes to line their own pockets and inherited by legitimate governments. This is one of the most efficient methods of foreign assistance. In Tanzania, debt relief led to a 50 percent increase in primary school enrollment, and in Burkina Faso and Mozambique freed funds are being used to support millions who are struggling with HIV/AIDS.

Jubilee USA Network Welcomes Senate Foreign Relations Committee Passage of Jubilee Act to Expand, Reform Poor Country Debt Cancellation

Press release yesterday from Jubilee USA highlighting good news this week in the U.S. Congress: passage of the Jubilee Act in the Senate Foreign Relations Committee with some revisions, and some important action towards World Bank reform in the House Financial Services committee.

Network Also Applauds House Panel’s Authorization of World Bank Funding, Including Significant Calls for World Bank Reform

WASHINGTON – Jubilee USA Network, an alliance of 80 religious denominations and faith-based networks, development agencies, and human rights groups today applauded passage of the Jubilee Act for Responsible Lending and Expanded Debt Cancellation (S. 2166) by the Senate Foreign Relations Committee, and passage of legislation to authorize funding for the World Bank (International Development Association), including strong calls for reform at the World Bank.

Liberia Labor Leaders Talk Economic Justice Thurs. June 26 in DC

TransAfrica Forum Arthur R. Ashe, Jr. Foreign Policy Library presents a Viewpoint Lecture Series Discussion with

Liberian Labor Leaders on Economic Justice and the Rights of Workers in Liberia

WHEN: Thursday, June 26, 2008; 6:00 PM to 8:00 PM

WHERE: TransAfrica Forum, 1629 K Street NW, #1100, Washington, DC 20006

Join TransAfrica in welcoming: Mr. Austin S. Natee, the President of the Firestone Agricultural Workers Union of Liberia.

Mr. Edwin B. Cisco, Secretary General of the Firestone Agricultural Workers Union of Liberia (FAWUL) and National Coordinator in Liberia for the Swedish Pan African Trade Union Education Project (PANAF) of the LO/TCO based in Sweden.

Ms. Oretha D. Garway the Vice President of the Forestry, Logging and Industrial Workers Union of Liberia

TransAfrica Forum’s Viewpoint Lecture Series: Perspectives from Africa and the Diaspora undertakes in-depth examinations of contemporary issues integral to an informed appreciation for the political and socioeconomic fabric of Africa and the Diaspora. For more information call 202.223.1960 ext. 137 or email [email protected].

Grassroots Conference Audio Available for Download

So you couldn't make it to the Grassroots Conference in Columbus, OH? We have the first two plenary sessions and an amazing session linking the debt issue to immigration, held yesterday, available for free download. We'll be loading the rest before the end of the week.

First Conference Plenary Session: Global Debt Movement  [80MB]
Saturday, June 21, 2008 9:30am-10:30am
Lidy Nacpil, Jubilee South, and Neil Watkins, Jubilee USA National Coordinator
Introducing participants to the history and breadth of Jubilee movement, as well as stories about what people are doing around the world to transform injustice.

Second Plenary Session: Jubilee and the Movement to End Extreme Poverty [65MB]
Saturday, June 21, 2008 2:45pm-3:45pm
Alex Baumgarten, Episcopal Church Washington Office; Jason Fileta, U.S. Micah Challenge; Kim Stietz, ELCA Washington Office; Blake Waggoner, ONE Vote ‘08
Join the discussion on the connections between the Jubilee debt movement and other major efforts to overcome global poverty and achieve the Millennium Development Goals, such as the U.S. Micah Challenge and the ONE Campaign. Specifically, this work- shop will explain why debt cancellation is critical to these efforts and how we can collaborate in meaningful ways to make poverty history.

Debt & the Diaspora: Economic Justice & Immigration [49MB]
Saturday, June 21, 2008 3:50pm-4:50pm
Sarah Anderson, Institute for Policy Studies; Karina Harty-Morrison, Community Refugee & Immigration Services All the immigration proposals being discussed in D.C. have on thing in common: They ignore the links between U.S. policies and the conditions that drive migration in the first place. This workshop will focus on ideas for promoting debt cancellation as one ele- ment of a broad agenda to address the economic pressures behind migration, as well as the needs and rights of immigrants in this country. To understand the impact of migration on refugees and immigrants within the Central Ohio community, this workshop will include a presentation by a local social service agency, Community Refugee & Immigration Services (CRIS).

Sign-On Letter to Support Ecuador Debt Audit Release

(special thanks to Anna Jefferson and Jubileo Sur Américas  for sending us this)

Jubileo Sur/Américas is collecting signatures for an open letter in support of Ecuador's official debt audit.  Jubileo Sur would appreciate support from grassroots organizations, congregations, individuals, and any other party in support of the first official debt audit to identify illegitimate debts and work to repudiate them.

The petition is found on their site: http://www.jubileosuramericas.org/item-info.shtml?x=86928

You can send signatures to [email protected] or apoyoauditoria(at)gmail.com by June 30. Indicate clearly the name of the organization, country or region, and contact details for follow-up purposes.

The Ecuadoran Integral Public Credit Audit Commission (CAIC), established by presidential decree one year ago, is expected to release its final report in just a few more weeks. This is a critical moment to express support for this historic process and to reiterate our hope and expectation that it will contribute to the securing of justice. Movements and organizations from throughout Latin America and the Caribbean as well as the entire world, can also in this way support the mobilization of the movements, organizations, and peoples of Ecuador who continue in their struggle to stop payments on a debt that is illegitimate, hold accountable those responsible, and insure that more unjust debt is not accumulated in their name.

Read the open letter and sign on after the jump below.

Poto Mitan: New Documentary Puts Haitian Women At the Center

About a month ago Mark Schuller, activist and Vassar prof, called me and told me about a film he, Renée Bergan, and Mary Becker made called "Poto Mitan".

He spoke excitedly about his experiences in Haiti and the impact of debt and unjust economic policies on the people of Haiti.

Poto Mitan is a story of struggle, courage, resistance, and democracy. Through powerful, compelling stories/lives of five courageous Haitian women, Poto Mitan will inspire and educate solidarity, global justice, and women's activists around the world and challenge them to think critically about their own work. Each woman's life history will shed light on a particular aspect of the country's current crisis, weaving Haiti's story within her own, something that is often missed by the mainstream and even alternative media.

Campaigners Deliver Petition for Haiti’s Debt Cancellation to Treasury Department, Urge Action at G-8 Finance Ministers Meeting Friday in Japan

WASHINGTON –  Today Jubilee USA Network delivered a petition signed by nearly 3,000 Americans to the US Treasury Department urging US Treasury Secretary Henry Paulson to support immediate debt cancellation for Haiti when he meets with other G-8 Finance Ministers later this week – from June 13-14 -- in Osaka, Japan.

“As Treasury Secretary Paulson joins other G-8 leaders in Japan this week, we call on him to support immediate debt cancellation for Haiti,” said Neil Watkins, National Coordinator. “Thousands of Americans have spoken out and said that it is unacceptable for Haiti to continue to pay $1 million in illegitimate debt payments each week to the World Bank and other institutions while the people of Haiti suffer.”

Haiti is facing a crisis: The price of staples like rice, beans, flour, and corn have almost doubled in the past six months, and Haiti has seen riots and even killings over food.  The price of fuel has also skyrocketed, leaving small businesses unable to cope, and emergency boats without gas enough to address crises at sea.  During the second week of April, as many as five people were killed during the food riots.  On May 12, eleven people (including five children) were found dead after an overcrowded ferry capsized off the Haitian coast.

House Financial Services Committee Leaders Call for U.S.-Led Action on Vulture Funds at G-8 Finance Ministers Meeting This Week in Osaka

FOR IMMEDIATE RELEASE
Monday, June 9, 2008
Contact: Neil Watkins, Jubilee USA, 202-421-1023

WASHINGTON – Leading members of the House Financial Service Committee today expressed strong concern about the activities of so-called “vulture funds” in a letter to Treasury Secretary Henry Paulson, and called on the Secretary to address the impact of vulture funds on poor countries when he joins his colleagues at the G-8 Finance Ministers meeting to be held later this week in Osaka, Japan on June 13-14.

The letter was initiated by Representative Gwen Moore (D-Wisc.) and signed by Committee Chairman Barney Frank (D-Mass.) and senior member Representative Maxine Waters (D-Calif.). It urges Secretary Paulson to “seek agreement within the G-8 to adopt a broader strategy for addressing the problem.” This would include seeking the commitment of countries that currently hold debt from poor countries not to sell the debt claims on to funds that refuse to participate in debt relief.

Heavily Indebted Poor Countries (HIPC) are particularly vulnerable to vulture funds who purchase the defaulted debts of HIPC countries at much reduced prices and litigate against the debtor for inflated sums, making huge profits on the backs of the world’s poorest citizens. As of late 2007, 11 of 24 Heavily Indebted Poor Countries (HIPCs) surveyed by the International Monetary Fund were facing litigation from 46 different commercial creditors. Of these, 25 credi¬tors had received court judgments against HIPCs amounting to about $1 billion on original claims of $427 million. 

Food Crisis: Petition Paulson to Freeze Haiti's Debt Payments

The global food crisis has Haiti in its grip.

The lack of affordable food has caused riots and political turmoil. While some Haitians are reportedly eating dirt to quell their hunger, their government is forced to pay almost $1 million each week in debt service to the World Bank and the Inter-American Development Bank, both wealthy banks that were supposedly established to fight poverty.

The finance ministers of the G8 countries — the world’s richest nations — meet on June 13 and 14 in Japan to discuss the food crisis. By canceling debts they could help alleviate the suffering of Haiti and other affected countries. Treasury Secretary Henry Paulson Jr. will be attending the G8 meeting.

Please sign the petition to U.S. Treasury Secretary Henry Paulson Jr. to urge him to support accelerated debt cancellation for Haiti and, in the meantime, an immediate moratorium on the country’s debt service payments at this meeting. Jubilee USA will deliver this petition before he leaves on Wednesday, June 11.

• SIGN THE PETITION TO SECRETARY PAULSON
• Ask Your Friends & Family to Petition Paulson
• Food Crisis & Haiti Background Statement
• More Info About Haiti

@ the 4th Tokyo International Conference on African Development...

During the 4th Tokyo International Conference on African Development, Lesotho Prime Minister Pakalitha Mosisili talked about the food crisis impacts on economies like his own and how it will lengthen the time his country needs to achieve the Millennium Development Goals. READ FULL API ARTICLE

Meanwhile, musician Bono urged the cancellation of impoverished country debt, saying "[Debt cancellation] is not a matter of charity but a matter of justice." Read the article in Japan Times