IMF and World Bank call for freezing debts to small countries
Both institutions, through a statement, asked bilateral creditors to stop the repayments of these countries so that they can face the consequences of the pandemic
Through a statement, the International Monetary Fund (IMF) and the World Bank asked international creditors in the poorest countries to “freeze debt repayment.”
The purpose of this is that these nations can face the consequences that the coronavirus is leaving in the different economies of the world.
In this list, a set of 76 nations are among those eligible to receive this aid from both organizations. It should be noted that these have a per capita income below $ 1,175.
In Latin America, the Dominican Republic, Haiti, Honduras and Nicaragua are deeply vulnerable. This action will give them a break so that the leaders of these nations can analyze the situation and meet the needs of each country.
The IMF and the World Bank also asked the G20 to put them in charge of this evaluation task to make the list of countries with unsustainable debt, and to work on a restructuring.