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Anjoulie Woodhead published Jubilee, IMF and World Bank Spring Meeting Events in Press 2023-04-05 16:50:34 -0400
Jubilee, IMF and World Bank Spring Meeting Events
April 6, 2023 | 11:00–12:00 pm ET
Prioritizing Vulnerable Communities in Global Finance - Webinar
When leading global financiers converge on Washington, DC, for the spring meetings of the International Monetary Fund and the World Bank, a host of practical and ethical issues will compete for priority, each a part of the polycrisis that confronts us. The 2023 agenda for the G20 leaders will be an integral part of the discussions. Global religious communities play important roles and have significant stakes in the outcomes, though what those roles are and how they are engaged is often unclear. Among the leading issues are care and concern for the most vulnerable: giving meaning to the call for a "preferential option for the poor" (a phrase used by Pope Francis in his encyclical Laudato Si), and translating intentions on addressing climate change into practical action. This webinar will preview how these issues may affect the G20 agenda, especially as they relate to ethical imperatives and the actual and potential roles that religious communities play in responding to global crises.
Panelists include Rev. Charles Chilufya, S.J., Director of the Justice and Ecology Office, Jesuit Conference of Africa and Madagascar (JCAM), Eric LeCompte, Executive Director, Jubilee USA Network, Katherine Marhsall, Senior Fellow, Georgetown's Berkley Center for Religion, Peace and World Affairs, Professor of the Practice of Development, Conflict and Religion, School of Foreign Service, Athena Peralta, Programme Executive for Economic and Ecological Justice, World Council of Churches
Sponsors: Berkley Center for Religion, Peace, and World Affairs at Georgetown University, the G20 Interfaith Forum and Jubilee USA Network
RSVP by clicking here.
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April 12, 2023 | 9:00–10:30 am ET (1:00–2:30 pm GMT)
Achieving Debt Crisis Resolution That Delivers Today and in the Future
Rising debt burdens in low- and middle-income countries constrain their response to urgent people's needs in an adverse and uncertain context. This unfolding debt crisis poses risks to all regions in the global south and ultimately constitutes a risk to global economic and financial stability. We will hear from different regional realities how the current instruments to deal with debt resolution are insufficient and unfit to address the current and future debt challenges. Proposals to help countries avoid the debt trap, dealing with overlapping crises and boosting an equitable recovery will also be discussed.
Red Latinoamericana por Justicia Económica y Social (Latindadd)'s Global Advocacy Director, Patricia Miranda, moderates a panel with Jason Braganza, Director, African Forum and Network on Debt and Development (AFRODAD), Mae Buenaventura, Team Manager of Debt Justice Program, Asian People’s Movement on Debt and Development (APMMD), Maia Colodenco, Former Head of the International Affairs Unit, Argentina's Ministry of Economy, Mark Flanagan, Deputy Director of the Strategy Policy and Review Department, International Monetary Fund (IMF)
Sponsors: Red Latinoamericana por Justicia Económica y Social (Latindadd), African Forum and Network on Debt and Development (AFRODAD), Asian People’s Movement on Debt and Development (APMMD), Jubilee USA Network, European Network on Debt and Development (Eurodad), Debt Justice Network Norway, Arab Watch Coalition, The Southern and Eastern African Trade Information and Negotiations Institute (SEATINI), Society for International Development, Christian Aid
Location: HQ2-03B-768B Lecture Room
Registration to the World Bank/IMF Annual Meetings will be required to access the premises. No registration is needed to access the livestream, available at: https://www.imf.org/en/live
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April 14, 2023 | 10:30 am–2:30 pm ET
Jubilee USA Vigil and Press Conference: Protecting Lives, Livelihoods and Planet
Join us on Friday, April 14th for a vigil and press conference in occasion of the IMF, World Bank and G20 Meetings. Hear how religious and community leaders from around the world are working for a Jubilee.
10:30 am–2:00 pm ET: Vigil
2:00 pm–2:30 pm ET: Press Conference
Speakers include Bishop Charles Kasonde, Bishop of Solwezi, Zambia, President of Association of Episcopal Conferences of Eastern Africa (AMECEA), Rev. Charles Chilufya, S.J., Director of the Justice and Ecology Office, Jesuit Conference of Africa and Madagascar (JCAM), Patricia Miranda, Global Advocacy Director, Red Latinoamericana por Justicia Económica y Social (Latindadd), Athena Peralta, Programme Executive for Economic and Ecological Justice, World Council of Churches, Eric LeCompte, Executive Director, Jubilee USA Network, Cathy Feingold, Director, AFL-CIO International Department and Deputy President, ITUC (TBC)
A full schedule is available here: https://www.jubileeusa.org/spring_meetings_jubilee_vigil_pressconference
Location: Community Park 1824-1884 H St NW, Washington, DC 20006
Register by clicking here. If you have any questions feel free to contact [email protected]. To stay up to date on these events, visit our website at: https://www.jubileeusa.org/spring_meetings_jubilee_vigil_pressconference
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Anjoulie Woodhead published Oxfam America Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-24 09:55:31 -0400
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Anjoulie Woodhead published Two-Pager and Action Items on the New York Taxpayer and International Debt Crises Protection Act in The Sovereign Debt Stability Act 2023-03-22 11:46:20 -0400
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Anjoulie Woodhead published Congregation/Organization Sign-on Letter to New York State Legislators, Support NYTIDA in The Sovereign Debt Stability Act 2023-03-22 11:45:58 -0400
Congregation/Organization Sign-on Letter to New York State Legislators, Support NYTIDA
Your organization, faith community or congregation can sign the letter to New York legislators here.
Read the letter here.
21 Letter Signatories as of 3/15/2023
-----We write to request that you pass legislation to protect taxpayers, address economic shocks and support debt relief for developing countries suffering the pandemic economic and health shocks and the Ukraine war food and energy impacts.
As the world enters its third year since the pandemic triggered the worst economic crisis since World War II, developing countries' debt is at a 50-year high. Half of them spend a quarter of their revenue or more on debt payments. Private creditors, holding more than 60% of developing countries’ debt, refuse to participate in debt relief initiatives set by world leaders. When debt restructurings occur, private creditors average a 20% higher return than their taxpayer-funded peers.
More than one-half of sovereign debt contracts are issued under NY law. New York State legislation requiring equitable debt restructuring can make money accessible to developing countries for essential health and social services, including vaccines and food, energy and environmental protection programs.
Pope John Paul II and diverse faith-based leaders championed debt forgiveness for poor countries, and it has been a longstanding US policy with bipartisan support ever since.
Tax money – including from New Yorkers – funds the US participation in debt relief initiatives. Lack of private creditor participation in international debt relief initiatives risks undermining public support, and bringing the debt restructuring system to a halt. This would extend debt crises, with resulting supply shocks, humanitarian crisis and health and social impacts that harm our markets, citizens and consumers.
NY is the primary jurisdiction for developing market bonds and the world's financial capital.Prompt enactment of NY legislation to ensure private creditors contribute their share in international debt relief initiatives helps address the urgent needs of vulnerable people and promote the resilience of developing nations, while safeguarding economic and market stability at home-----
21 Letter Signatories as of 3/15/2023Messiah Lutheran Church
Congregation Gates of Heaven
United Methodist Church
First Reformed Church of Schenectady
First United Methodist Church of Schenectady
Saint John of God Parish
Presbyterian Hunger Program
B'nai Sholom Reform Congregation
Sisters of Charity of New York
First Presbyterian Church of Forest Hills NY
Fundación de Diaconía Pazos
Asofenix
Sisters of St. Joseph of Carondelet Albanu
African Services Committee
Sisters of Mercy in NY State
African Communities Together
Grey Nuns of the Sacred Heart
United Church of Christ, Justice and Local Church Ministries
Duryee Memorial AME Zion Church
Maryknoll Fathers and Brothers
First Lutheran Church - Albany, NY
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Anjoulie Woodhead published Jubilee Germany Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-21 10:57:27 -0400
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Anjoulie Woodhead published AFSCME Support Memorandum for the New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 15:39:51 -0400
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Anjoulie Woodhead published AFL-CIO Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:45:00 -0400
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Anjoulie Woodhead published Hon. Rafael Hernández Montañez Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:43:10 -0400
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Anjoulie Woodhead published New York State Catholic Conference Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:38:38 -0400
New York State Catholic Conference Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act
Download the New York State Catholic Conference support memorandum for The New York Taxpayer and International Debt Crises Protection Act as a PDF here.
Download the New York State Catholic Conference support memorandum for The New York Taxpayer and International Debt Crises Protection Act as a PDF here.
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Anjoulie Woodhead published AFRODAD Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:34:18 -0400
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Anjoulie Woodhead published Latindadd Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:29:29 -0400
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Anjoulie Woodhead published Puerto Rico Religious Leaders Letter of Support to NY Senators and Assemblymembers, NYTIDA in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:25:25 -0400
Puerto Rico Religious Leaders Letter of Support to NY Senators and Assemblymembers, NYTIDA
Download the Puerto Rico Religious Leaders letter of support to NY Senators and Assemblymembers, NYTIDA (English) as a PDF here.
Download the Puerto Rico Religious Leaders letter of support to NY Senators and Assemblymembers, NYTIDA (español) as a PDF here.
Download the Puerto Rico Religious Leaders letter of support to NY Senators and Assemblymembers, NYTIDA (English) as a PDF here.
Download the Puerto Rico Religious Leaders letter of support to NY Senators and Assemblymembers, NYTIDA (español) as a PDF here.
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Anjoulie Woodhead published Caritas Africa Support Memorandum for The New York Taxpayer and International Debt Crises Protection Act in Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act 2023-03-17 11:19:39 -0400
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Anjoulie Woodhead published Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act in The Sovereign Debt Stability Act 2023-03-17 11:18:14 -0400
Organizational, Group and Individual Letters and Memos in Support of The New York Taxpayer and International Debt Crises Protection Act
The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO)
American Federation of State, County and Municipal Employees, AFL-CIO (AFSCME)
New York State Catholic Conference
New York State Council of Churches
Hon. Rafael Hernández Montańez, Speaker of the Puerto Rico House of Representatives
The New York State Public Employees Federation (PEF)
1199SEIU United Healthcare Workers East
The Communications Workers of America, Local 1180
African Forum and Network on Debt and Development (AFRODAD)
Red Latinoamericana por Justicia Económica y Social (Latindadd)
European Network on Debt and Development (Eurodad)
Rivers & Mountains GreenFaith Circle
Executive Committee of the Leadership Conference of Women Religious (LCWR), Region 2
The Jesuit Justice and Ecology Network Africa (JENA)
UN Independent Expert on Foreign Debt and Human Rights
The United Methodist Church General Board of Church and Society
American Public Health Association, Section Co-Chair
Upstate New York Synod of the Evangelical Lutheran Church in America
The Sisters of Mercy of the Americas Justice Team in New York State
Archbishop Roberto Gonzalez, of the Catholic Archdiocese of San Juan de Puerto Rico
Metropolitan New York Synod of the Evangelical Lutheran Church in America
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Anjoulie Woodhead published Frequently Asked Questions: The New York Taxpayer and International Debt Crises Protection Act in The Sovereign Debt Stability Act 2023-03-17 11:04:16 -0400
Frequently Asked Questions: The New York Taxpayer and International Debt Crises Protection Act
Download the Frequently Asked Questions as a PDF here.
What is the New York Taxpayer and International Debt Crises Protection Act or NYTIDA?
The majority of the world's private debt is governed by New York law because New York is the financial capital of the world. The New York Taxpayer and International Debt Crises Protection Act supports debt relief for developing countries approved by the US government and other public institutions. The bill protects US taxpayers from bailing out private debt holders and protects our pensions. Because the countries that receive debt relief are New York and US trading partners, the bill helps address inflation, supply shocks and the rising price of food and fuel.
Who supports NYTIDA?The New York AFL-CIO, the New York State Catholic Conference, the New York Council of Churches, AFSCME, the New York State Public Employees Federation, Oxfam America, Bread for the World, the ONE Campaign, Puerto Rico's religious leaders, Jubilee USA Network and African, Asian and Latin American development organizations are among hundreds of groups supporting The New York Taxpayer and International Debt Crises Protection Act (S.4747/A.2970).
How does NYTIDA protect the interest of New York taxpayers, residents and consumers?A primordial interest in NYTIDA: The State of New York ensures that New York, Puerto Rico and US taxpayer funding of international debt relief does not bailout private creditors. Mechanisms that leave uncertain whether there will be comparability of treatment between the private and public sector would fail to adequately protect taxpayers’ interest.
The passage of Hoylman/Fahy’s Act can reduce prices for New York, US and Puerto Rico consumers of commodities such as eggs, flour and coffee.
The bill also protects the smooth functioning of available mechanisms for avoiding, mitigating or resolving international debt crises and, with it, the international financial system stability critical to prosperity in NY’s financial center. The bill seeks to maintain the importance and pertinence of New York as the world's financial capital. Given the unwillingness of private creditors to participate in debt relief initiatives, there is a growing risk that taxpayers withdraw support for public leadership in such initiatives. Without such leadership, the sovereign debt restructuring machinery would collapse. Measures that do not provide the public this confidence on parity participation by the private sector would fail to protect this public interest.
When sovereign debt crises occur, they have a direct knock-on effect on the state’s taxpayers and consumers, and their effects on financial markets and payment systems disproportionately affect the economy. The effects can range from the economic – supply-side disruptions, inflationary impacts – to health issues like the spread of a pandemic. So the state has a legitimate interest and obligation to facilitate the prompt resolution of such crises. Part of the effectiveness of NYTIDA is that it deals with multiple countries and crises all at once, in an expedient manner.
Why NYTIDA is an efficient and expedient vehicle to resolve developing country debt crises and prevent predatory activity?Because it is specifically tailored to deal with the current global crises in developing countries, where private creditors are refusing en masse to join multiple debt relief agreements led by every Democratic and Republican administration since 1997. One of multiple agreements, is the G20 Common Framework. Present, previous and future debt relief initiatives are covered.
Given the expeditiousness of a treatment approach as proposed by the NY Taxpayer and International Debt Crises Protection Act, introduced by Senators Brad Hoylman-Sigal and Assemblymember Patricia Fahy, can immediately, without years of implementation: lift the rights of workers, increase social safety nets and reduce poverty, food insecurity and inequality in almost all countries across the world.
While other initiatives that we support deal with the obligation and changing debt contract clauses, given the current global crises in most countries an immediate and comprehensive approach is warranted for Latin America, the Caribbean, Africa and Asia. In the current environment where the majority of the private sector is holding out en masse, the majority or supermajorities to agree to change contract clauses are hard to find and is why immediate solutions that ensure private creditor participation and their treatment must move forward expeditiously. While we support effective legislative remedies that will deal with restructuring the contract obligation, it will take time and budget requests to support it. Even discounting the budget and infrastructure implementation time to create new debt restructuring processes, agreements under these processes take several years to conclude. Thus, the New York Taxpayer and International Debt Crises Protection Act (S.4747/A.2970) is the most effective and efficient approach.
Does the legislation benefit pension and other institutional investors?Yes. The bill protects the long-term performance of savings in pension funds and other institutional investors. By facilitating NYTIDA's more efficient debt resolution for countries, the costs of debt crises are reduced and economic growth resumes more quickly. These effects also bring positive impacts on investments in domestic companies that do business with such countries.
How does the legislation benefit Puerto Rico?Religious leaders in Puerto Rico as well as the Speaker of the Puerto Rico House strongly support NYTIDA. The legislation has a positive effect for inflation, food costs, and economic and supply shocks to the island, where they are felt uniquely due to high poverty rates. Nearly 60% of children live in poverty on the island. The law additionally protects Puerto Rico taxpayers from bailing out the private sector, when the private sector refuses to participate in debt relief efforts.
NYTIDA benefits Puerto Rico by reducing the length and cost of crises in Caribbean and Latin America countries, which have close cultural, economic and personal ties with Puerto Rico. While Puerto Rico is subject to additional import expenses due to the Jones Act, those expenses are even higher because of the debt challenges and crises that Puerto Rico's Latin American and Caribbean neighbors face. Puerto Rico depends on commodities and goods from Latin America from food to fuel to bibles. All of the base export costs are up dramatically, meaning that Puerto Rico is even facing higher expenses given the debt crises of its neighbors. Since the majority of all Latin American bonds are governed under New York law, as NYTIDA addresses debt challenges across Latin America, Puerto Rico reaps significant import cost reduction benefits.
Additionally, NYTIDA enables larger-scale actions worldwide to stop climate change, that islands like Puerto Rico are deeply suffering from.
Puerto Rico knows debt crises and austerity measures well, and in 2015 experienced a dramatic default on $72 billion of debt. As a response, in 2016 Congress passed special federal legislation that governs in an exclusive way bankruptcy processes in Puerto Rico, as well as the other territories. Therefore no New York State level initiative has jurisdiction to influence such processes, at least in the short term. However, NYTIDA sets a path for future reforms in creating bankruptcy and debt relief protections for the island.
Does NYTIDA apply only to G20 Common Framework countries?NYTIDA is not only applicable to Common Framework cases, but also to an important range of international debt relief initiatives supported by the US government as part of a 25-year cornerstone of bipartisan US policy. Expertly written, S.4747/A.2970 comprehensively covers many current initiatives. For instance, Sri Lanka is not one of the current 73 Latin American, Asian, Caribbean and African countries covered by the US led Common Framework. But the international community cooperation efforts to address Sri Lanka's debt crisis would squarely trigger the bill’s applicability. This is similar to what can be triggered for every African, Asian, Caribbean or Latin American country once they announce ANY debt crisis. Paris Club, OECD and IMF agreements fit the definition and will be covered by NYTIDA as well for ALL countries. Essentially, any debtor, anywhere, that needs to undergo a debt restructuring where public creditors are involved will be under the scope and the efficacy of the law.
More importantly, NYTIDA will remain a necessary treatment complement to initiatives, should they come in the future as evolutions or outright replacement of the Common Framework. In no way does this come into competing with future, different legislative obligation initiatives, but actually will make those initiatives much stronger and more effective. While leaders have ratified their support for the Common Framework as the current vehicle to provide debt relief, as seen in the G20 Summit (November 2022) and statements from creditors and debtors during the October 2022 IMF/World Bank Annual Meetings, they recognize that it needs improvements. For instance, many stakeholders, including the US representatives, favor opening the Common Framework beyond the 73 countries that can currently avail themselves from it. NYTIDA would remain applicable if that happens. Another concern that hamstrung the effectiveness of the Common Framework is, precisely, one that NYTIDA is trying to address: lack of fair burden-sharing by public and private creditors. But it's imperative to note, that the Common Framework remains only a small part of NYTIDA’s scope and efficacy. The bill, structured by the world's foremost and best debt experts, will immediately and positively assist all countries and regions in crisis - including the United States and Puerto Rico.
NYTIDA is modeled on United Kingdom law. Does that work in the US context?Of course. Simply put, England is a financial jurisdiction and the State of New York is a financial jurisdiction.
Many of the laws that states and countries have today are based on the laws of other states and countries. The entire discipline of international comparative law exists to study laws in different jurisdictions and how they can be useful and relevant in countries different from where they originally emerged. Moreover, world leaders often agree on initiatives after which parliaments must pass legislation to implement them. Inevitably the legislations in such cases will be similar, not because they are taken from the other country, but because they embody the same principles the respective leaders jointly committed to implement.
One should add that England, as the second debt contracts governing jurisdiction in the world by volume of issuance, and another major financial center, bears more comparability to New York than any other jurisdiction possibly could.
Perhaps one of the great advantages of NYTIDA is that due to how judges make decisions on comparative law, in the other smaller financial jurisdictions, they can immediately issue judgments on New York law, even if the judges preside in other countries. As lawyers, policy and legislative experts point to - a powerful impact of NYTIDA impacts global comparative law.
Why trust public creditors to set the standard for debt relief?Historically public creditors have taken the lead on debt restructurings. In turn, both public and private creditors rely on IMF-provided debt sustainability assessments and are unlikely to participate in a debt restructuring without one. This is because creditors trust the IMF and see it as a guarantor of the country’s ability to repay. Neither NYTIDA, nor any other bill introduced in a US state, has control over that perception or can force them to accept the assessment of a different agency as equally reliable.
Public creditor deals based on IMF debt sustainability assessments, while not perfect, tend to result in more debt relief than achievable in processes where private creditors have more leverage. An illustrative case is Zambia, a Common Framework case right now, where the private sector claims that the IMF assessment overstates debt relief needs and refuses to contribute on the share required. The same dynamic took place in Argentina’s 2020 debt restructuring. Beyond the recent anecdotal evidence, analyses of debt restructuring over the years shows that the private sector extracted on average 20% better terms from the debtors than public creditors. To expect that history will make a U-turn and private creditor majorities will begin delivering more debt relief than public-led debt relief initiatives is a reckless bet.
Importantly, by putting private creditor contributions to debt relief on an equal footing with public ones, NYTIDA sets a clear and objective standard for debt relief and burden-sharing whose fairness can hardly be questioned. This is a distinction why NYTIDA is not only quicker and more efficient than any other proposal, but actually more effective and much more comprehensive given the current US and global crises.
NYTIDA is comprehensive and can address numerous issues about the debt sustainability assessments we have in place today. The bill is designed to automatically integrate any improvements to such methodologies in the future, or any other way the international community and creditors decides to assess debt sustainability. For example, as we win rights for countries to get additional assessments, NYTIDA is the only model that allows us to create additional tools and assessments for countries in Latin America, the Caribbean, Africa and Asia – even Europe.
Can the legislation face constitutional challenges?No. Testing, working with the top legal experts in the field, illustrates that the NY Taxpayer and International Debt Crises Protection Act does not impair or change contracts, thus affirming S.4747/A.2970 will not face constitutional or legal challenges. The Hoylman/Fahy Act operates by only affecting the remedy that may be had under New York State law.
Does NYTIDA force countries to take IMF loans and implement IMF austerity/ budget cuts policies that harm their most vulnerable?No. Never. No. As the IMF is a key provider of lending in emergency situations where other sources of funding already dried up for the borrower, and also an actor who signals creditors trust, a country in a debt crisis will frequently seek an IMF loan, which comes with conditions. That is a reality independent to NYTIDA.
However, by putting private creditor contributions to debt relief on an equal footing with public ones, NYTIDA stands to increase debt relief and, simultaneously, reduce the weight of the budget cuts that a borrower may be required to bear. Further, the legislation immediately protects New York and US taxpayers for the coming deluge of New York and US taxpayer bailouts for the private sector.
Why support the New York Taxpayer and International Debt Crises Protection Act?Support NYTIDA because it is one of those rare pieces of legislation that hits all the marks: The New York Taxpayer and International Debt Crises Protection Act is pro-people, pro-business, pro-labor, pro-United States, pro-investment and pro-planet.
Download the Frequently Asked Questions as a PDF here.
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Anjoulie Woodhead published The New York Taxpayer and International Debt Crises Protection Act Talking Points and Action Items (English and español) in The Sovereign Debt Stability Act 2023-03-15 10:23:29 -0400
The New York Taxpayer and International Debt Crises Protection Act Talking Points and Action Items (English and español)
Download the NYTIDA Talking Points and Action Items (English) as a PDF here.
Download the NYTIDA Talking Points and Action Items (español) as a PDF here.
Download the NYTIDA Talking Points and Action Items (English) as a PDF here.
Download the NYTIDA Talking Points and Action Items (español) as a PDF here.
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Anjoulie Woodhead published The Sovereign Debt Stability Act Media Coverage in The Sovereign Debt Stability Act 2023-03-14 17:29:10 -0400
The Sovereign Debt Stability Act Media Coverage
Letter: No surprise unions back New York State’s debt plan The Financial Times (March 27, 2024)
New York moves to rewrite law on sovereign debt default recovery The Financial Times (March 6, 2024)
New York Politicians Renew Push to Solve Sovereign Debt Crises Bloomberg (March 6, 2024)
The New York Taxpayer and International Debt Crises Protection Act
State lawmakers look to regulate foreign debt deals The Capitol Pressroom (August 31, 2023)
Huge Global Economic Policy Challenges Business Recorder (June 16, 2023)
Devex Invested: Setbacks for an ambitious plan to ease global debt woes Devex (June 13, 2023)
Ambitious N.Y. bill takes aim at global debt woes Axios (June 12, 2023)
‘Comparable Treatment’ for Private Creditors Wall Street Journal (June 12, 2023)
EM Restructuring Bills Deferred to 2024 as NY Lawmakers Break Bloomberg (June 10, 2023)
How New York State Could Unlock Billions for Climate Finance The New Republic (June 9, 2023)
Draft NY state law a ‘golden opportunity’ to ensure fair debt relief UN News (June 8, 2023)
Wall Street Scores Victory as NY Lawmakers Stall Vote on EM Debt Bills Bloomberg (June 8, 2023)
New York bill would rewrite rules for sovereign debt restructurings Nikkei Asia (June 7, 2023)
How a New York Bill Could Help Fix the Sovereign Debt Crisis Washington Post (June 6, 2023)
Investors brace for new law on sovereign debt workouts Financial Times (June 4, 2023)
New York rewrites the rules on sovereign debt restructurings Financial Times (June 2, 2023)
Explainer: Can a New York state law solve an emerging markets debt crisis? Reuters (June 1, 2023)
The Frantic Push to Solve Sovereign Debt Crises Irks Wall Street Bloomberg, Economic Times (May 29, 2023)
Commentary: 'Vulture fund' bill will protect New York's economy Times Union (May 24, 2023)
The church-labor fight against vulture funds comes to New York National Catholic Reporter (May 24, 2023)
A Catholic approach to global debt The Evangelist (May 24, 2023)
Devex Invested: Why IFC's solar program failed to take off in Africa Devex (May 23, 2023)
Stiglitz Backs NY Bills That Cap EM Payouts as Trade Groups Fret Bloomberg (May 22, 2023)
Business groups urge block of NY bill to cap investment fund profits Times Union (May 22, 2023)
New York Bills That Cap Key EM Debt Payouts Rile Pimco, Fidelity Bloomberg (May 18, 2023)
Opinion: G-7 meeting is opportunity to prioritize African debt relief Devex (May 18, 2023)
Jubilee USA Pushes NY To Enact International Debt Relief Law The Sanctuary of Independent Media (May 5, 2023)
How New York State can help end the global debt crisis Oxfam (May 1, 2023)
Challenged by Poor Access to External Financing, Aid, Least Developed Countries Must Mobilize Domestic Resources, Promote Investment, Speakers Stress at Doha Roundtable United Nations (March 8, 2023)
New York state bill seen aiding poor country debt relief Reuters, The New York Times, Yahoo (Feb 17, 2023)
Fahy introduces bill to help developing nations recover from pandemic WAMC (Sept 16, 2022)
NY lawmakers, advocates want pressure for developing nations' creditors Spectrum News 1 (Sept 14, 2022)
Assemblymember Fahy introduces NY taxpayer and international debt crises protection act CBS (Sept 14, 2022)
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Anjoulie Woodhead published Eric LeCompte Addresses 46 Ministers of the Least Developed Countries and United Nations in Press 2023-03-09 10:14:40 -0500
Eric LeCompte Addresses 46 Ministers of the Least Developed Countries and United Nations
5th United Nations Leaders Summit of the Least Developed Countries: FROM POTENTIAL TO PROSPERITY
March 8th, 2023
Doha, Qatar
Fulfilling the Demand of a World Where We All Have Enough: Lifting the Least Developed Countries from Crisis to Resilience
"Sometimes the miracle is that we were already given enough, and we just figured out how to share it…"
By Eric LeCompte, Executive Director, Jubilee USA Network
(Remarks as prepared for delivery)Your Excellencies, it's good to be with you again and join you for this critical high-level roundtable. I wish to thank the ministers and my other co-panelists and I hope I might highlight, engage and offer further insights into their comments.
Thank you to his Royal Highness who shares with us the sacred value carried by Gulf states of hospitality and welcome. Thanks to her Excellency, Under Secretary General Fatima and her team for making this event possible. Thanks to the Qatari staff, UN staff and the delegation staff from every country who prepared us to be here. And we extend our thanks to the civil society groups and charities among us, who join us all here, in our deep yearning to build a world, to create a world, where all have enough and no one is left behind.
Here in the Gulf as we are all taught that sacred tradition of welcome, hospitality and sharing - we can acknowledge that such sacred tradition is endemic to all of our cultures and religious traditions. The Hebrew scriptures reminds us that we never know when we might be entertaining angels. The Christian, Benedictine tradition exhorts us to welcome all as if we have the very honor of welcoming the Holy One.
Today, we are here to talk about hospitality and sharing. Today, we are here to speak to the urgency in resolving multiple global crises. Today, we are here to celebrate the very real successes of the Least Developed Countries in using emergency pandemic response aid. Today, we are here to accept the challenge to raise the revenues we need, to stop corruption and build a world where we all have enough.
First - where we are at.
The 46 so-called "Least Developed Countries" face acute vulnerabilities: Relatively small economic size, sluggish progress of structural transformation, heightened dependence on external aid and finance, institutional weaknesses, political instability and in too many tragic cases, conflict. 40 percent of the population in LDCs live in extreme poverty, compared to 12% in other developing countries.
Economic growth is highly volatile in the poor LDCs.
Right now with the pandemic and war in Ukraine, more than 251 million people in the Least Developed Countries are severely food insecure and experience hunger. The Least Developed Countries host 40% of the world’s poor – even though they only have 13% of the global population. In fact, the proportion of the global poor in the Least Developed Countries more than doubled since 1990.
As of March of last year, 21 of the 46 LDCs were in or at risk of debt distress and debt crisis. The share of government revenues spent on servicing public and publicly guaranteed debt rose from 13 percent to 15 percent from 2019 to 2021. In 2017 LDCs already reached $313 billion in debt.
Debt to export ratios shot up during the pandemic, from an average of 158% to more than 200% and in more than half of them that rate is above 250%. This is ALL debt – so not just the public debt - but more than 70% of that total debt is public debt.
Meanwhile, LDCs spend only an average of around 2% of their GDP on social protection and healthcare, combined. Debt and economic shocks alone put the UN Sustainable Development Goals out of reach. Before COVID, we remember the shock to our three West African neighbors because of Ebola.
Solutions, Amazing Success and the Road ahead:
1.) Expanding debt relief, debt transparency and debt work out procedures are critical - both through existing processes and new processes.
Debt is the chief issue facing most of the Least Developed Countries.
We need better debt sustainability frameworks and need to look at how debt affects the average person in our economies - Gross National Income, GNI, as opposed to GDP is often a better indicator of the suffering and strength of our people.
Consider that LDCs are 46 out of 73 countries eligible for the G20's Common Framework process.
So, we must make the Common Framework or another debt relief process work. We must expand bankruptcy and debt work-out procedures for all countries in crisis.
Privately held debt is also a key issue for the Least Developed Countries.
This is why we are incredibly excited and ask for all of your help to pass a New York Law that can shift the financial system for developing countries to have real, comprehensive options.
We must act in New York, as the world's financial capital, because more than 52 percent of the world's privately held debt is governed by New York law.
Thanks to New York Assemblymember Patricia Fahy and to Senator Brad Hoylman, we have, "the New York Taxpayer and International Debt Crises Protection Act, S.4747 and A.2970."
The legislation moves forward debt relief and aid for a world in crisis.
This legislation addresses global supply shocks and the high costs we are all paying around the world from eggs to cheese, flour to unga and tea to coffee. Work on this legislation is being led by global Muslim, Christian and Jewish organizations and the diaspora from LDC countries who call New York their second home.
They need your help. We need your help.
Passage of this law makes bankruptcy protections a reality for us.
We ask that every government and stakeholder here urge Governor Kathy Hochul and the New York Assembly and Senate to quickly, quickly pass this law that all of our lives and the lives and livelihoods of our people depend on.
2.) Raising additional revenue. Transparency. Tax, common digital tax and curbing illicit financial flows. These policies alone will raise billions and billions for our countries.
We can no longer wait for more aid from the North. It's not coming.
We are the ones we've been waiting for.
We can and we must take responsibility and harness these immense revenue streams. We must curb the scourge of corporate and professional tax evasion in our countries.
I wish to tell you a secret.
What may be the best kept secret in Washington DC.
That's the secret of the US Treasury's Office of Technical Assistance. The only role of this institution is to be at the service of every country that asks. Their role is to help you capture taxes from corporations and professionals who are not paying their share of taxes in your country. They assist with anti-corruption measures and ensure that budgets are passed transparently with the helpful oversight of our people.
Next, we need to increase the resources of development banks, and make them more efficient, effective and accountable. These banks will need to provide at least $200 billion of additional resources ANNUALLY to deal with the needs of these countries and offer highly concessional lending. We and you need to act to make this a reality.
Now we get to share some of the great successes of the Least Developed Countries in terms of emergency revenue use, and turn our conversation to Special Drawing Rights or SDRs. This emergency pandemic response aid has been well used by countries.
Through Jubilee USA's partnership with Africa's religious leaders, the Africa Catholic Bishops, Africa Caritas and the research Zambia study of our partners, the Jesuit Justice and Ecology Network Africa (JENA), some amazing things were discovered.
The SDRs in Zambia funded the Social Cash Transfer (SCT), the Rain Fed, Wetlands and Alternative Livelihood Programmes in the Ministry of Community Development and Social Services. Special Drawing Rights funded grants for all the hospitals in Zambia and these grants cover operation costs. The Zambia Medicines and Medical Supplies Agency (ZAMMSA), received SDRs which it used to finance the purchase of drugs, medical supplies, equipment and Covid-19 Vaccines.
While not a sustainable way to fund Zambia pensions, SDRs reduced the waiting period for pensioners to receive their money from more than three years to less than one year.
Further: Many developing countries—including The Least Developed Countries such as Benin, The Gambia, Madagascar, São Tomé and Príncipe, Uganda, Guinea-Bissau, all used or committed to use their SDRs to support public health and combat the spread of COVID-19. Liberia, Senegal, and Sierra Leone use SDRs specifically for vaccine imports, production and distribution.
Congratulations for such an effective use of Special Drawing Rights.
Because LDCs have used this emergency aid so well, we must hold northern governments accountable for their commitments to rechannel $100 billion to developing countries. AND, we must not stop our calls as a global community for a new creation of Special Drawing Rights and for International Monetary Fund gold sales.
Finally, we must rely on our most important natural resource, partner and our very reason for being - our people.
We need each other and must rely on one another. We are reminded by a concept known to all of us, a concept lifted recently by Pope Francis - that politics, leadership is a noble calling and a call to serve our people.
The more transparency we establish in budgets and transactions, the more our people are invested. The better we can serve, the more trust we establish, the more we can harness the rich resources of our countries. The more we work with our people to root out corruption at all levels, the more revenues we will raise.
We only go forward, together.
In closing, the promise of the Holy One to live in a world where we all have enough and our planet is protected, is not a dream - but a demand for every single one of us to fulfill.
The miracle, perhaps, may be more than the reality that the Holy One created enough for all of us out of nothing. Sometimes the miracle is that we were already given enough, and we just figured out how to share it.
Thanks.
Eric LeCompte is the Executive Director of the religious, interfaith development organization, Jubilee USA Network.
Download Eric LeCompte's remarks as a PDF here.
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Anjoulie Woodhead published Needs of Poorest, Vulnerable Countries in Focus at United Nations Doha Conference in Press 2023-03-07 10:45:25 -0500
Needs of Poorest, Vulnerable Countries in Focus at United Nations Doha Conference
Debt, Aid and Finance Top Agenda
Presidents, Prime ministers and leaders of the UN's 46 Least Developed Countries and representatives from all countries meet in Doha to help poor countries respond to multiple crises and achieve development and climate objectives.
On Sunday, United Nations Secretary General, António Guterres, opened the once-in-a-decade Fifth United Nations Conference on Least Developed Countries. He asserted that debt challenges must be tackled if these countries are going to meet the UN's Sustainable Development Goals.
“Too much debt may be the biggest issue facing most developing countries,” said Eric LeCompte, one of the high-level expert panelists invited to address the leaders. LeCompte heads the religious development group Jubilee USA Network. “The international community must quickly address the global debt crisis and get aid to these countries wrestling with a new food crisis due to the war in Ukraine.”
The conference ends on March 9th.
View the United Nations' list of Least Developed Countries here.
See the agenda for Wednesday's "High-level Thematic Roundtable 7: Resource mobilization and strengthened global partnerships for sustainable development in Least Developed Countries," here.
Watch on UN TV, the "High-level Thematic Roundtable 7: Resource mobilization and strengthened global partnerships for sustainable development in Least Developed Countries," here.
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Anjoulie Woodhead published Majority of Countries Wrestling with Multiple Crises as G20 Finance Ministers Meet in Bengaluru Meeting in Press 2023-02-23 12:38:50 -0500
Majority of Countries Wrestling with Multiple Crises as G20 Finance Ministers Meet in Bengaluru Meeting - Jubilee USA Network
Secretary Yellen Calls for More Aid for Ukraine while India Urges Ministers to Avoid Conversation on the War
G20 Finance Ministers gather for a three-day meeting in Bengaluru, their first under the Indian Presidency. While addressing global debt tops the G20 agenda, the Ukraine war is debated on the sidelines.
"The G20 wants to tackle debt in developing countries that is at its highest in 50 years, as poverty rises and standards of living decline," said Eric LeCompte, a United Nations finance expert and the Executive Director of the religious development group Jubilee USA Network. "I'm worried that progress on a number of key issues will be another casualty of the war in Ukraine."
At a high-level gathering, the Sovereign Debt Roundtable, a group of borrowing countries, governments that lend money, private lenders and international financial institutions will explore solutions to expedite and make debt reduction more widely accessible and predictable.
“These side meetings are happening because the G20 debt relief initiative is still not supported by some private creditors yet,” shared LeCompte. "We are not waiting for the private sector to join the G20 initiative, so we support new legislation in New York that can make sure the private sector comes to the table."
Under the New York Taxpayer and International Debt Crises Protection Act, private creditors will be required to participate in debt relief initiatives at the same level as the US government, other governments and other creditors and protect US taxpayer-funded debt relief commitments. New York State Senator Brad Hoylman-Sigal, Judiciary Committee Chair, introduced S.4747, a companion bill to A.2970 that Assemblymember Patricia Fahy champions in the Assembly.
During the meetings, the G20 will review progress on using the emergency pandemic aid that the IMF issued in 2021 for developing countries. The IMF released $650 billion in Special Drawing Rights (SDRs) – an emergency currency. Wealthy countries received more than $400 billion and the G20 subsequently committed that rich countries would provide $100 billion of their share to finance low-cost, long term loans to developing countries.“A key discussion is whether the G20 can support more development bank funding with Special Drawing Rights,” noted Aldo Caliari, Senior Director of Policy and Strategy at Jubilee USA Network.
The IMF approved loans using the SDRs for five countries to date. The African Development Bank put forward an initiative to use SDRs as capital to finance climate and food security programs in the region.
Leaders plan to discuss proposals to increase development bank lending. Last year, a group of experts that the G20 tasked with producing proposals offered recommendations that could boost lending by hundreds of billions of dollars. The US and other countries led a call to see the institutions lending more to global challenges such as climate and pandemic preparedness.
“Continuing to ask banks to step up to face global crises response will require creativity on how they use capital, and we will very likely need more capital,” stated Caliari.
Read more about the New York Taxpayer and International Debt Crises Protection Act here.
