G7 to support tsunami debt freeze
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The G7 group of industrialised states, led by the UK, is set to back a moratorium on debt repayments from countries hit by the Asian tsunami.
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The Bush Administration said on  Wednesday tsunami-hit countries that want long-term debt relief  would have to choose between that and other U.S. aid.
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International momentum was building in support of debt relief for tsunami-hit nations on Wednesday after Japan backed the idea despite Australian concerns a debt freeze might not benefit those most in need.
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The G-7 meeting Saturday in Tokyo produced little immediate action, but finance chiefs pledged to foster world economic growth and support a joint effort to stop climate change
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The world's seven leading industrialized countries have agreed to support the suspension of debt payments by countries affected by the tsunami disaster, the British treasury announced.
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French President Jacques Chirac favors a moratorium on debt to the Paris Club group of creditors owed by countries hit by the tsunami that devastated southern Asia, his office said in a statement Thursday.
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Indonesia on Thursday sent out mixed  signals about an interim freeze by Western governments of debts  owed by Indian Ocean countries devastated by last month's  tsunami, and Sri Lanka said it may not go far enough.
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The Group of Seven finance ministers and  central bank governors gathering in Tokyo on Saturday will  reaffirm their determination to ensure financial stability,  according to a draft G7 statement obtained by Reuters.
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Indonesia Thursday welcomed a German  plan to propose a debt moratorium for the tsunami-hit country  when the Paris Club of sovereign lenders next meets on Jan. 20  and hoped it would free up more funds for reconstruction.
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Italy called on Group of Eight rich nations on Thursday to discuss a joint response to the Indian Ocean tsunami catastrophe as moves to grant debt relief to some of the stricken countries gathered pace.
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The G7 group of industrialised nations, led by the UK, agrees to freeze debt repayments by tsunami-stricken countries.
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The Paris Club of creditor nations will  agree Wednesday to freeze debt repayments of countries hit by  the Asian tsunami, French Finance Minister Herve Gaymard said.
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LONDON, Jan 6 (IPS) - World leaders need to cancel debts of poor tsunami-   hit countries rather than just freeze them for now, leading  campaigners  say.
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As the World Bank and International Monetary Fund assess economic costs to South Asian governments of the cataclysmic tsunami, the current outpouring of aid could mean international lenders won't need to step in with new loans, economists said on Tuesday.
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Britain, which holds the presidency of the G8 bloc of leading industrialized nations, wants to reach agreement by mid-January on reducing the debt of the countries hit by the tsunami in Asia, the Financial Times reports.
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COLOMBO: Berlin is ready to promote tourism and push for debt relief and free access to European markets to help tsunami-battered Sri Lanka get back on its feet, German Foreign Minister Joschka Fischer said on ...
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Chancellor Gerhard Schroeder stepped up the German government's pledge of financial aid to tsunami victims to $674 million US Wednesday as European nations moved to step up help to the devastated region.