DEBT RELIEF IN PRACTICE: LESSONS FROM RECENT CASES

The Sciences Po Chair for Sovereign Debt held on 14 March 2024 this event on “Lessons to learn from recent debt relief practices”, featuring H.E. Bihi Iman Egeh, the Somalian Minister of Finance.

The world is currently facing an unprecedented and growing level of sovereign debt. Between 2011 and 2022, debt rose at a faster pace than forecast in virtually all low-income countries, which are often the most fragile. The World Bank and the IMF estimate that 57% of low income countries are either in “debt distress” or close to it.

Several initiatives have been unveiled in recent years to try to address the debt burden. Some, like the Common Framework for Debt Treatments, have had limited progress; others, such as the Heavily Indebted Poor Countries (HIPC) Initiative, require complex reform plans to be in place. The current debt relief architecture is patchy and fragmented at best, and needs to be strengthened for faster and more effective debt resolution.

A group of international experts representing some of the main stakeholders involved in sovereign debt situations had an open dialogue about relief practices and identify key areas that require urgent policy action.

The Programme

Welcome Remarks by Arancha González, Dean, PSIA.

Introduction and moderation by Paola Subacchi, incoming Chairholder, Sovereign Debt Chair, Sciences Po.

Keynote Speaker: H.E. Bihi Iman Egeh, the Somalian Minister of Finance.

Speakers:

William Roos, Assistant Secretary Multilateral, Development and Trade affairs, Paris Club
Barthelemy Faye, Partner, Cleary Gottlieb Steen & Hamilton LLP

Watch the replay.

Hosted by the Paris School of International Affairs, the Chair aims to provide leading expertise on government finance, constituting a unique academic reference point on public debt issues.