Health GAP
www.healthgap.org

For Release: 23 September 2004
Contact: Robert DABNEY +1 (246) 467-4683/rdabney@healthgap.org, Sharonann LYNCH +1 (646) 645-5225/salynch@healthgap.org, Neil WATKINS +1 (202) 783-0129/ neil@jubileeusa.org

100% DEBT CANCELLATION FOR POOREST COUNTRIES NEEDED TO FIGHT AIDS

Note to editors: A complete transcript of today's media teleconference call is available here and for downloading here.

(Washington) Speaking to reporters today, one of the world's leading economists and representatives of Health GAP and the global Jubilee movement called for 100% cancellation of the debt that is, participants explained crushing many poor nations' economies. The call was held a week before a meeting of G7 Finance Ministers where additional proposals on debt relief are to be discussed.

The panel, convened by Health GAP and Jubilee USA Network included Prof. Jeffrey Sachs, Special Advisor to the United Nations and Director of the Earth Institute at Columbia University and Father Peter Henriot, Director of the Jesuit Center for Theological Reflection, which is part of the debt cancellation movement in Lusaka, Zambia.

"The amount of money being spent by poor countries on debt repayment is crushing when compared to the size of the health budget in these countries," said Sachs. "Full debt cancellation is the only thing that makes sense for these countries. What's happening now is that these countries are being forced to repay their debt and that money is being used to make loans back to poor countries. The World Bank and the IMF need to rip up the debt and insist that the savings go towards programs that service their people rather than service the debt."

The G7 Finance Ministers, meeting in Washington next week, are expected to address proposals for, put forward by the United States, for 100% multilateral debt cancellation for 30 countries.

8,200 people die every day due to lack of access to AIDS treatment. Six million people are in clinical, immediate need of antiretroviral treatment.

"The US must use the next eight days to negotiate effectively with G7 countries and the G7 countries must commit themselves, on Oct 1, to most necessary and effective intervention to fight AIDS which is 100% cancellation of debt for all poor countries on the IMF/WB's own dime and without harmful conditions imposed by the IMF/WB," continued Lynch. "It is not good enough for the US to make an announcement or float proposals that have sweetened the deal for countries to swallow the consideration of debt relief for Iraq while doing little for impoverished nations battling HIV/AIDS. In the face of the largest threat to global security, people living with AIDS and their advocates are saying: Ôno more half measures.'"

According to the Jubilee USA Network, the issue of 100% debt cancellation comes at a unique moment in time.

"The fact that the US is putting forth this proposal during the US Presidency of the G8 and in advance of a close Presidential election race makes this a unique political moment for debt cancellation," said Marie Clarke, National Coordinator, Jubilee USA Network. "We must have a deal on debt on October 1. A unilateral declaration by the United States will not be enough to carry this through. We hope that the US will do what is necessary to come to come to a consensus with the rest of the G7."

Father Peter Henriot, Director of the Jesuit Center for Theological Reflection, a key force in the Zambian debt cancellation movement has lived and worked in Lusaka for the past 15 years.

"In a few months we will celebrate Zambia's 40th Anniversary of Independence," began Father Henriot. "The country is now deep in debt. That debt has bled us for years, funneling many of our resources. The debt level stands at twice the per capita GNP. This has led to a situation where the country is expending tremendous resources in servicing debt and not servicing people. We need the help of rich countries so that we can redirect spending into areas like healthcare and education rather than paying wealthy nations."

About Health GAP

Health GAP (Global Access Project) is a United States-based AIDS activist organization dedicated to eliminating barriers to global access to affordable life-sustaining medicines for people living with HIV/AIDS in developing countries (www.HealthGAP.org). Health GAP works with allies within the US and internationally to increase access to AIDS and other essential medicines and to secure the resources necessary to sustain access to medicines for all.

About Jubilee USA Network

Jubilee USA Network is the US arm of the international movement working for debt cancellation for impoverished nations. Jubilee USA is a network of over 70 religious denominations, labor groups, environmental organizations, and community and advocacy groups working to break the chains of debt.

About Jesuit Center for Theological Reflection

The Jesuit Center for Theological Reflection is a research, education and advocacy team that promotes study and action on issues linking Christian Faith and social justice in Zambia and Malawi. The JCTR began in 1988 as a project of the Zambia-Malawi Province of the Society of Jesus and is similar in orientation and activities with other Jesuit social centers around the world.

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