United States and Haiti Sign Bilateral Debt Relief Agreement under the terms of Paris Club Accord
PORT AU PRINCE, Haiti – United States Ambassador Janet A. Sanderson and Haitian Minister of the Economy and Finance Daniel Dorsainvil signed a bilateral debt relief agreement under the enhanced Heavily-Indebted Poor Countries (HIPC) initiative on Wednesday, April 18.
Approximately $3.7 million of Haiti’s debt to the United States Government will be forgiven over three years under the terms of this agreement.
The agreement implements the multilateral Paris Club accord signed on December 16, 2006, which set the terms for canceling US$7.2 million and rescheduling $62 million of Haiti’s estimated $200 million debt to Paris Club members.
Creditor nations include Canada, France, Italy and the United States. The ultimate goal is to help Haiti reach a point of sustainable external public debt, which would allow it to invest in the social needs of the country and honor its obligations without impeding economic growth.
United States Ambassador Janet A. Sanderson and Haitian Minister of the Economy and Finance Daniel Dorsainvil
Both the Paris Club accord and the bilateral agreement signed today are positive markers along Haiti’s path to economic recovery. Improvements in security, stabilization of institutions and implementation of good governance were some of the key factors leading to Haiti’s debt relief. The assistance is provided in phases in both agreements and depends on the Government of Haiti’s realizing progressive change in these areas of priority.
The United States proudly continues to support Haiti’s success through agreements such as this one, assistance of over $600 million since 2004 and favorable trade incentives such as the Caribbean Basin Initiative and the HOPE bill.
With over $1.1 billion in bilateral trade last year, the U.S. remains Haiti’s largest trade partner and single-country donor.
