Washington DC - Debt vulnerabilities are on the rise and threaten global economic stability, G7 heads of state noted as they recommitted on actions to tackle debt challenges.

"The G7 is calling for faster and more efficient debt relief when most countries are facing crises," noted Eric LeCompte who leads the religious development coalition Jubilee USA Network. "It's critical that the G7 continues to take leadership on global debt challenges."

A declaration on mutually beneficial international partnerships reiterated a pledge to deliver debt relief in a predictable, timely, orderly and coordinated manner under the G20 Common Framework – the main process that is available for the poorest countries to seek debt reduction, agreed by the G20 six years ago. The group agreed to find a common approach to address debt problems of middle-income vulnerable countries that cannot access such process. The group of wealthy countries also noted that other developing countries needed to receive better treatment when dealing with debt challenges.

"When developing countries are facing crises because of debt, high fertilizer prices or war, it has a direct impact on the US and other developed countries," noted LeCompte who serves on United Nation economic expert groups, "We continue to deal with a growing global economic crisis that we feel when we go grocery shopping."

The share of revenue that countries spend on paying the interest of debt rose from 40% to more than 45% in the last two years.

In May, the US Treasury Secretary, Scott Besent and G7 finance ministers endorsed a blueprint for agreements between official creditors and debtors undergoing restructurings with the hope of quickening debt relief and restructurings.

“There is a desperate need for faster, more predictable and transparent debt restructurings,” stated LeCompte. "The G7 is essentially calling for countries to get debt relief before they enter a crisis." 

France will pass the G7 torch to the United States as the US hosts next year's G7 meetings. The US hosts the G20 this year, also with a focus on debt.

"The US government continues to make debt a central issue for world leaders to tackle," noted LeCompte who works with US government leaders. "The US G20 and US G7 will continue to focus on debt and global debt remains a key concern for Republicans and Democrats in Congress." 

Observers close to this year's G7 Summit report the French government will not release a final communique on the meetings, but rather a series of statements that include issues like debt representing the positions of world leaders.

Read the Jubilee USA press release on G7 Evian Summit Opening.

Read the Leaders' Declaration on Mutually Beneficial International Partnerships.