In 2006 07 Australia will provide a substantial contribution of $136.2 million to finance its share of multilateral debt relief announced by G8 Finance Ministers in June 2005. Australia's contribution for the 10 year period from 2006 07 to 2015 16 will be paid up front.
Australia's support of the Multilateral Debt Relief Initiative (MDRI) will allow the World Bank's International Development Association to provide 100 per cent debt relief to eligible countries that qualify under the Heavily Indebted Poor Countries (HIPC) Initiative. The Government has been a long term supporter of the HIPC Initiative, and has committed $112 million to date.
The MDRI provides debt relief when a country has a proven track record of reforms ensuring that resources are used for poverty reduction and for key programmes such as economic infrastructure, health and education.
Mr Downer's Office
Chris Kenny (02) 6277 7500 / 0419 206 890
Bronwyn Coles (02) 6206 4733 / 0418 216 844