G-20 Agrees to Extend Debt Freeze for Poor Nations by 6 Months

Economy Politics

Tokyo, Oct.15 (Jiji Press)--Finance ministers and central bank chiefs of the Group of 20 advanced and emerging economies agreed to extend the suspension of debt payments by six months for developing nations hit hard by the novel coronavirus pandemic.

The agreement to extend the deadline from the end of 2020 was included in a joint statement adopted at a video conference Wednesday night.

In the statement, the G-20 officials also indicated that they will discuss by next spring whether the economic and financial situation requires another six-month extension, as many developing nations are experiencing difficulties in procuring funds.

From Japan, Finance Minister Taro Aso and Bank of Japan Governor Haruhiko Kuroda took part in the meeting, which was held at a time when concerns are growing over the effects of the coronavirus crisis on developing countries with inadequate medical systems and weak financial bases.

On the debt repayment by such low-income economies, the statement said that all bilateral creditors should carry out the initiative of extending the deadline "fully and in a transparent manner."

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Jiji Press