The international community should reduce or eliminate the debts of the world’s poorest countries. To what extent do you agree or disagree?
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| Pressing Debts of Poor Countries |
In an era when bi lateral and
multilateral cooperation is achieving new heights at the global level, many
economists have started suggesting that to bring the international community
more closer, rich nations should work in the direction of bringing down or
writing off the debts altogether, whereas there are several who feel that this
would be inappropriate.
It is firmly believed that
the maladies, like hunger and poor living conditions, etc. being faced by
humanity stem from lack of financial resources. The issue takes a monumental
dimension when it comes to countries that face severe shortage of money. As per
many established experts, although the countries in possession of abundant
financial resources do actually put in serious efforts to help poor nations by
extending aid and bridging loans, all the assistance goes in vain; as the poor
nations are not able to bear the burden of paying back pending loans. The
position of the poor countries is further worsened by existing poverty and low
productivity.
Furthermore, the poor nations,
which are already reeling under the burden of pending arrears further slide
down, in terms of performance, on the economic, political and human resource
front. These nations are trapped in a vicious circle; and the inhabitants of
such nations are not able to reap any advantage from advancement and progress.
This aspect severely hampers the prospects of even development on various
fronts at the global level.
However, many experts claim that this reducing or writing off arrears would do more damage to nations
stricken with poverty because such a move would make the political
establishments of those countries complacent; make them dependent on such sops
in future; and give rise to corruption, exacerbating the miseries of such regions.
In conclusion, reducing or
writing off debts might prove to be counterproductive for poor nations. Thus, such proposal should be enforced discreetly, after assessment of various essential aspects.
