Haiti – the poorest country in the Western hemisphere – has been granted a 1,2 billion US dollar (6,5 milliarder DKR) debt relief following reforms undertaken by the Caribian country, the World Bank said Tuesday.
The reforms were under the so called enhanced heavily indebted poor countries (HIPC) initiative of the World Bank and International Monetary Fund (IMF).
The actions erased nearly two-thirds of Haitis outstanding debt. As of April, Haiti owned more than 1,9 billion dollar, according to the Center for Economic and Policy Research (CEPR). – This is a pretty big victory, definitely. This is what we have been wanting, said CEPR Analyst Dan Beeton.
Canceling Haitis debts will free up to about 50 million dollar a year for spending over the next 10 to 15 years to reduce poverty in the arid island nation, an IMF official said Wednesday.
In related news, the World Bank has approved a 5 million dollar grant to strengthen Haitis agriculture management and support sustainable development. Agriculture provides more than 25 percent of the countrys GDP and accounts for approximately 50 percent of overall employment.
Kilde: www.worldbank.org
