Illegitimate debts a burden

IN 2005, the G8 made a commitment to canceling debts some impoverished countries owed to the World Bank, the International Monetary Fund and the African Development Bank.

That deal, while benefiting some countries, did not solve the crisis of indebtedness which continues to burden the economies of impoverished countries.

The 2005 debt cancellation deal covers a limited amount of loans and creditors. The more fundamental problem is that the package does not take into account the urgent need for creditors to be held accountable for giving irresponsible loans.