Jubilee USA Network in Oregon

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Jubilee USA Network in Oregon

• Joining hands to break the chains of debt
• www.jubileeusa.org and www.jubileeoregon.org

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How it began

• US deficit spending of 60s gtgtgt US prints more
  moneygtgtgt US devalued gtgtgt oil prices went up gtgtgt
  put oil dollars in US banks gtgtgt banks lent to
  anyone for anything
• In poor countries cash crop values dropped oil
  prices and interest rates increased gtgtgt debtor
  trap
• 1982 Mexico defaulted on loan payments

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Enter the troublesome troubleshooters

• IMF and World Bank bailed out commercial
  banksgtgtgtrestructed loans to poor countries, with
  conditionalities, structural adjustment programs
  were born.

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Structural Adjustment Fails

• Wage caps for teachers, doctors nurses
• User fees for water, health and education
• Export led development coffee not corn
• Foreign private investment benefits
• Privitization of water, electricity,
  communications, minerals..
• Sustainable debt Must service debt first
• Conditions Delays
• Its all about control

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Brief History of Jubilee

• Resistance began with movements in the Global
  South decades ago, Jubilee South formed from them
• Peoples movements inspired northerners to form
  Jubilee North
• The two have been working as partners ever since
• Gained debt cancellation for 18 of the worlds
  poorest countries in 2005

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Simple facts about debt

• Sub-Saharan Africa has repaid 90 of the 294
  billion received in loans between 1970 and 2002.
  
• But due to high interest rates and unjust lending
  practices there is still 201 billion left to
  pay, with an annual debt service of 14 billion.

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Millenium Development Goals

• Eight goals that the entire world agrees to!
• By 2015, halve extreme poverty, universal primary
  education, gender equality and empowerment,
  reduce childhood mortality, improve maternal
  health care, combat AIDS and TB, ensure
  environmental sustainability and develop a global
  partnership for development ie. right relations
  and jubilee justice.

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Debt Cancellation and MDGs

• Without debt cancellation, the MDGs will not be
  met in at least 67 of the worlds poorest
  countries.

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Debt Cancellation Works!

• Debt cancellation reduces dependence on foreign
  aid
• FACT Africa pays more in debt service than it
  receives in aid, new loans and assistance.

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Debt Cancellation Works!

• Unconditional debt cancellation allows
  governments to prioritize the interests of their
  own people in their budgets, rather than the
  interests of the IMF and the World Bank.
• This is often called pro-poor budgeting

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Some success to date

• In 2005 the Group of eight agreed to cancel the
  debt for 18 of the worlds poorest countries.
• The results to date have been astounding.

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Debt Cancellation Works!

• Uganda doubled school enrollment to 97
• Mozambique vaccinated 500,000 children

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Debt Cancellation Works!

• Zambia eliminated rural health care fees and
  hired 4,500 teachers
• Ghana is investing in basic infrastructure,
  including rural feeder roads, as well as
  education and health care.

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Debt Cancellation Works!

• In Nigeria, the government is training 145,000
  primary school teachers and hiring 40,000 new
  teachers.
• Tanzania is importing vital food supplies for
  those affected by drought.

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Debt Cancellation Works!

• In Burundi, elimination of school fees in 2005
  allowed an additional 300,000 children to enroll.
  

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Jubilee USA Network in Oregon

• Joining hands to break the chains of debt
• www.jubileeusa.org and www.jubileeoregon.org