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Title:Will HIPC matter? The debt game and donor behaviour in Africa PDF Logo
Authors:Birdsall, Nancy
Claessens, Stijn
Diwan, Ishac
Issue Date:2002
Series/Report no.:WIDER Discussion Papers // World Institute for Development Economics (UNU-WIDER) 2002/50
Abstract:In this paper we focus on the question: will the HIPC debt reduction programme help in the transformation of the development assistance business and change the rules of the ‘debt game’ in Africa? We concentrate on the donor and official creditor side, by exploring how the growing debt of African countries, over the last two decades, has affected the provision of new resources by the donor community. Our results indicate that if debt levels are reduced sufficiently in high debt countries, donors can shift from the current pattern of non-selectivity and defensive lending to a low debt regime, a regime that has in the past allowed selectivity in lending in relation to levels of poverty and quality of policy.
Subjects:debt relief
foreign aid
low-income countries
international organizations
Document Type:Working Paper
Appears in Collections:WIDER Discussion Papers, United Nations University (UNU)

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