Where the words come from
The definition of debt relief (partly or totally forgiven, or its growth slowed or stopped); the UK's support for the HIPC initiative — Export finance and insurance: international agreements, UK Export Finance, GOV.UK, Open Government Licence v3.0. https://www.gov.uk/guidance/export-finance-and-insurance-international-agreements. Changes: Definition of debt relief kept verbatim; the Paris Club, OECD and per-head income threshold material dropped.
Debt rescheduling and debt cancellation as forms of relief; HIPC launched by the IMF and the World Bank in 1996 and revised in 1999 to deliver twice as much relief; interest and principal forgone from debt cancellation counted as DFID programme expenditure — Glossary of terms used by the Department for International Development (2013), Department for International Development, GOV.UK, Open Government Licence v3.0. https://www.gov.uk/government/publications/glossary-of-terms-used-by-the-department-for-international-development/glossary-of-terms-used-by-the-department-for-international-development. Changes: Condensed and paraphrased; "principal" given as "repayments"; "programme expenditure" given as "programme spending".
HIPC's aim that no poor country faces a burden of debt it cannot manage; relief for countries completing the HIPC process; the criteria, the commitment to poverty reduction through policy changes and the track record required; the MDRI's 100 per cent relief from the World Bank, IMF and African Development Bank; long-term relief giving resources for health, education and infrastructure; UK relief for non-HIPC countries only where convinced it helps poor people — 2010 to 2015 government policy: economic growth in developing countries, Appendix 12: providing debt relief for developing countries, Department for International Development and HM Treasury, GOV.UK, Open Government Licence v3.0. https://www.gov.uk/government/publications/2010-to-2015-government-policy-economic-growth-in-developing-countries/2010-to-2015-government-policy-economic-growth-in-developing-countries. Changes: Paraphrased and condensed; the HIPC Trust Fund and Paris Club material dropped.
Andrew Mitchell's statement that debt relief lets poor countries spend more on schools, hospitals and services to boost growth and reduce poverty; the Debt Relief (Developing Countries) Act 2010 and vulture funds suing HIPCs for the full value of debts bought cheaply, including interest and penalties for arrears; the estimated saving of £145 million over six years — Government acts to halt profiteering on Third World debt within the UK (16 May 2011), HM Treasury press release, GOV.UK, Open Government Licence v3.0. https://www.gov.uk/government/news/government-acts-to-halt-profiteering-on-third-world-debt-within-the-uk. Changes: Mitchell's words paraphrased in reported speech; the sunset clause and other ministers' statements dropped; "in some cases" given as "sometimes".
The UN estimate that 3.3 billion people live in countries where debt interest exceeds spending on health or education; nearly sixty per cent of low-income countries in or at high risk of debt distress; the contributing factors (slow growth, low revenue, public investment without sufficient return, too little foreign exchange from exports); the Common Framework taking too long, with Zambia waiting more than 18 months between staff-level agreement with the IMF and agreement with official creditors — International development in a contested world: ending extreme poverty and tackling climate change, a white paper on international development (20 November 2023), Foreign, Commonwealth & Development Office, GOV.UK, Open Government Licence v3.0. https://www.gov.uk/government/publications/international-development-in-a-contested-world-ending-extreme-poverty-and-tackling-climate-change. Changes: Paragraphs 1.9, 4.23 and 4.24 paraphrased and condensed; "GDP" left out; collective action clauses and the other policy commitments dropped.
The finding that conditionality which tries to buy reform from an unwilling partner has rarely worked — Partnerships for poverty reduction: rethinking conditionality, a UK policy paper (March 2005), Department for International Development, HM Treasury and Foreign and Commonwealth Office, published on GOV.UK, Open Government Licence v3.0. https://www.gov.uk/government/publications/partnerships-for-poverty-reduction-rethinking-conditionality and https://assets.publishing.service.gov.uk/media/5a7c24cf40f0b645ba3c6f6a/partnerships-poverty-reduction.pdf. Changes: One finding paraphrased in plain words.
Moral hazard: taking more risk with insurance than without it — Principles of Economics 2e, OpenStax, licensed CC BY 4.0. https://openstax.org/books/principles-economics-2e/pages/16-2-insurance-and-imperfect-information. Changes: Definition generalised from insurance to any protection from a cost; "behavior" to "risk"; the application to government borrowing and the example are ours.
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