In a context of fragile economic recovery and possible future debt crises, UNCTAD has published The Roadmap and Guide for Sovereign Debt Workouts which gives recommendations to improve the coherence, fairness and efficiency of current sovereign debt restructuring processes. Aiming principally to guide countries through steps they can take before and during debt restructuring, this document hinges around five principles for sovereign debt workouts: legitimacy, impartiality, transparency, good faith and sustainability. An analysis of this Roadmap by Eurodad can be accessed here.

Researchers from Cambridge University held a seminar at the New Rules offices in Washington to launch a new database on IMF conditionality, the first since 1990. The database, very easily accessible and searchable, covers all IMF programmes, uses IMF classifications as well as additional breakdowns of use to independent researchers. The tool will be available online shortly.

DFI was invited by the OECD to participate in an OECD expert group meeting on the proposed new measure of “Total Official Support for Sustainable Development (TOSSD)”, and to mobilise developing country officials to attend. The meeting reaffirmed that TOSSD should focus on tracking official non-ODA financial flows which aim to catalyse private external financing, and NOT for the time being the private flows which are catalysed, because there are very complex issues to resolve about whether the funds are additional.

DFI participated in a symposium organised by the Friends of the Global Fund, to examine the best ways to fund the SDGs for health, making a presentation on the key potential role of a partnership for tax revenue. Other sessions examined the need for a Global Fund for Health Systems, lessons from Rwanda and from the Ebola crisis, and use of technology to track implementation of health plans. The seminar was attended by 40 parliamentarians, officials and civil society organisations. During the visit DFI also held meetings with the German Development Ministry and Oxfam Germany about FfD and global tax reform issues. 

DRI took part in a World Bank mission aimed at developing a reform plan debt management. The recommendations were structured around three areas: strategy medium-term debt, Back Office, and developing the domestic market. The mission prepared a project that will be submitted for peer review and then to the Kyrgyz authorities for comment. It is anticipated that the final report be completed by June/July 2015.

DFI attended the EURODAD/IBIS conference in Copenhagen to help facilitate a workshop on why aid must use country systems, and to liaise with European CSOs on advocacy around tax, debt and private flows for development. At the conference, the Danish Minister for Development indicated that future global tax governance structures must give equal decision-making power to developing countries. DFI also took advantage of the visit to hold meetings with the Danish Foreign Ministry on FfD and global tax reform issues. 

The IMF and the World Bank announced $1.1 billion in debt relief for Chad, the fourth-least developed country in the world. Chad is now the 36th country to reach completion point under the HIPC Initiative (and the first since 2012). Prior to receiving debt relief, Chad owed around $800m to the World Bank, $400m to the African Development Bank and also about $500m to other governments. Reflecting the significant improvement in economic management in recent years, this announcement will be a welcome development for a country with more than half of its population living in poverty. 
It has taken almost 20 years since HIPC was established, and 8 years since Chad’s decision point. This now leaves Somalia, Eritrea and Sudan as the last HIPC countries awaiting relief.

New Rules for Global Finance is seeking feedback for the Global Consultation on Sovereign Debt Restructuring. The final report will incorporate this feedback and be presented at the IMF-World Bank Annual Meetings held in Lima in October 2015. You can participate by sending your ideas, recommendations and ideas to Esta dirección electrónica esta protegida contra spambots. Es necesario activar Javascript para visualizarla , completing a 5-minute questionnaire, or organising or participating in a webinar.

DFI chaired and spoke in a panel with Oxfam and Peruvian NGO Ciudadanos al Dia on why monitoring budget revenue, financing and spending will be essential to track progress towards the SDGs. Click here to download the DFI/CaD presentation. This analysis built on the joint DFI-IBP-Oxfam briefing paper prepared in October 2014, as well as Chapter 5 of the GSW 2015 report on how to conduct budget monitoring. 

The African Development Bank has asked DFI to provide evidence to its ADF Task Force on potential debt risks for ADF borrowers during 2015-30. The Task Force meeting will be held in Abidjan on 29-30 May, after the Bank’s Annual Meetings.