ASIA/PHILIPPINES – To cancel foreign debt in order to contribute to the reconstruction after Typhoon Haiyan

Tuesday, 11 November 2014

Manila (Agenzia Fides) - A year after the disaster caused by Typhoon Haiyan (Yolanda), which hit the central Philippines in November 2013, religious organizations, environmental groups, human rights organizations have submitted a petition to the World Bank, requesting the reduction of the foreign debt of the Philippines and to turn that money in reconstruction aid.
A year ago, Haiyan, the strongest typhoon ever recorded in the country, hit the area of Leyte, killed 6,000 people and caused 4 million refugees. The Philippines received about $ 850 million in aid to solidarity, but they have spent more than $ 6 billion to cover the share of its foreign debt, with interest. Part of that debt was born under the regime of dictator Ferdinand Marcos, who, in twenty years in power, stole between 5 and 10 billion dollars from the state.
"Without addressing the issue of the foreign debt of the Philippines, it is difficult to rebuild and properly prepare for future disasters", says in a statement sent to Agenzia Fides Eric LeCompte, executive director of the "Jubilee" Coalition, who promoted the abolitionist campaign of the debt . The Philippines are funding the economic recovery largely through new loans, including $ 2 billion from the World Bank and the Asian Development Bank. The state spends about 15-20% of its annual budget to pay the interest on the debt, more than expected for areas such as health or education. (PA) (Agenzia Fides 11/11/2014)


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