U.S. House passes debt relief

Religious leaders praised me U.S. House of Representatives for passing the Jubilee Act, which pushes the Treasury Department to seek debt cancellation agreements with 24 countries.

The bill, which passed 285-132 with broad bipartisan support April 16, targets countries that need their debts canceled to meet the United Nations' Millennium Development Goals, which seek to eradicate extreme poverty and halt the spread of HIV/AIDS by 2015.

"We commend the U.S. Congress for its bold step in passing the Jubilee Act and listening to the people of the impoverished nations who have borne the burden of unjust debt for far too long," said Patricia Rumer, co-chair of the Washington-based Jubilee USA Network, which includes religious groups, development agencies, and civil and human rights groups.

The Senate's bill, S. 2166, is awaiting a hearing by the Foreign Relations Committee.

May 18 has been set aside as a worldwide day of prayer for the cancellation of the debt of the world's poorest countries. The event marks the 10th anniversary of the Jubilee Debt Campaign.

The legislation passed by the House calls on the U.S. Treasury to negotiate at the World Bank and the International Monetary Fund an agreement for debt cancellation for two dozen additional countries to meet the U.N. goals for poverty reduction.

"Funds going from poor countries to well-heeled financial institutions to service debt should instead be used to improve education, provide better health care for all people, and increase food security for the poorest," said Ruth Messinger, president of American Jewish World Service.

Other measures in the bill include urging more resources for grants for the world's poorest countries; prohibiting the IMF and World Bank from imposing conditions that make it difficult for poor countries to receive debt relief; and directing the U.S. Government Accountability Office to audit questionable lending by the IMF, World Bank and the U.S. government in specific countries.

The U.S. Conference of Catholic Bishops supported the legislation. Bishop Thomas G. Wenski of Orlando, Fla., chairman of the bishops' Committee on International Justice and Peace, said that debt relief initiatives enacted since 1999 have saved 22 poor countries $60 billion.

These reductions are freeing up funds for education and health care and for improving the lives of poor people, Wenski said.

The debt reduction campaign is based on the idea of a jubilee year as cited in the Book of Leviticus, whereby people owing debt were freed, lands lost because of debt were returned, and right relationships among people were restored.

--From wire services

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