U.S. Catholic features the United States Conference of Catholic Bishops and Jubilee USA Network joint letter to the Biden Administration for global debt relief. Read an excerpt below, and click here for the full story.

It’s time to reform global lending, say U.S. Bishops

By Kevin Clarke

In a joint letter in February, the interfaith religious development group Jubilee USA Network and the United States Conference of Catholic Bishops urged the Biden administration to take the lead in preventing such lamentable trade-offs. Their appeal calls for a short-term response to address immediate humanitarian needs this year, freezing debt servicing, and forgiving some loans outright. But the letter writers also argue that long-term reform of global lending practices has to be a part of a rational response to prevent a rinse and repeat of such crises. Too often resource-rich-but-capital-poor states accept debt deals that promise prosperity but just as often deliver economic and social catastrophe.

Cornering poor counties into trading emergency spending on public health for debt payments will definitely mean a higher death toll and the likelihood that the pandemic will continue longer than it has to. In that sense a merciful response on debt is a wise investment for all, helping economies around the world return to normalcy faster and with fewer casualties. No one should be forced to choose between life and debt.

 

Read the full article here.