Developing Countries: Debts Written Off

(asked on 20th March 2019) - View Source

Question to the Department for International Development:

To ask the Secretary of State for International Development, if her Department will make an assessment of the potential merits of (a) debt relief for Mozambique in light of the devastation caused by Cyclone Idai and (b) an automatic debt relief mechanism for all vulnerable countries after large scale disasters.


Answered by
Penny Mordaunt Portrait
Penny Mordaunt
Lord President of the Council and Leader of the House of Commons
This question was answered on 25th March 2019

I recognise that natural disasters can have a serious impact on affected countries’ ability to service external debts. The Government of Mozambique has not requested consideration for debt relief at this stage, and any consideration of official debt relief would need to be made via the Paris Club of official creditors and done in close coordination with the IMF. The UK Government is not an official creditor to Mozambique.

The UK will continue to work with international partners, including the Paris Club, to explore the potential for more resilient debt-instruments that support faster economic recovery and stability in the international financial system, while preserving access to financing for development.

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