Daily Management Review

UN calls for extension of debt freeze for poor countries


UN Secretary-General António Guterres has called for a 2022 extension of the deferral of debt payments to poor countries.

Leif Jørgensen
Leif Jørgensen
He said the debt crisis must be solved through debt standstills, debt forgiveness for countries that need it.

"I welcome the G20's support for the extension of the Debt Service Suspension Initiative until the end of this year, but I call for its further extension in 2022." - Guterres said, speaking at a forum on financing for development.

In addition, he called for closing the funding gap for the COVAX vaccine distribution mechanism.

Guterres also called for a halt to the decline in concessional funding, including in middle-income countries. "Development assistance is needed more than ever and I call on donors to step it up," he pointed out.

"The latest figures show that the wealth of the world's richest people has increased by $5 trillion over the past year," the Secretary General said. He urged governments to consider imposing a tax on those who made gains during the pandemic to reduce extreme inequalities.

source: reuters.com