Number: RL34644
Title: Low-Income Country Debt Cancellation: H.R. 2634 and S. 2166
Authors: Jonathan Sanford and Martin A. Weiss, Foreign Affairs, Defense, and Trade Division 
Abstract: The bills titled the "Jubilee Act for Responsible Lending and Expanded Debt Cancellation" (H.R. 2634 and S. 2166) seek to provide 100% debt relief to the many poor countries that did not qualify previously for debt relief through the World Bank's HIPC (Heavily Indebted Poor Country) program. This legislation builds on more than a decade of debt relief efforts at the international financial institutions (IFIs) that aim to benefit the poorest countries. This report discusses previous efforts to cancel debt owed by low-income countries. It summarizes the Jubilee debt reduction proposal and provides an overview of House and Senate action. It assesses the likely cost of a possible Jubilee debt reduction program. Finally, the report examines some possible implementation and policy issues.
Pages: 20
Date: August 25, 2008