Secretary John Snow
Department of the Treasury
1500 Pennsylvania Ave., NW
Washington, DC 20220

RE: Cancellation of African debt

Dear Secretary Snow,

I join many millions of Americans in my great concern about the injustice of Africa's increased poverty and the HIV/AIDS pandemic. I very strongly urge you to provide the leadership for the G8 to find a way to provide 100% cancellation of Africa's multilateral debts.

As you know, debt servicing creates an unbreakable cycle of burden. Last year, African nations spent more than $13 billion on debt payments to wealthy creditors including the IMF and World Bank. This is more than they spent on health care and education or received in foreign aid. The people of impoverished countries in Africa need full debt cancellation.

You backtracked on your earlier commitments when you stated, on April 16 of this year, that you "were not persuaded by arguments for IMF debt relief" and that IMF gold sales are not warranted to address the crippling and often odious African debt. I am extremely disappointed that you evidently allowed misplaced concerns from large gold companies to impact your position, and I ask that you immediately reconsider and negotiate an agreement for the upcoming July G8 Summit that:

• Provides 100% debt stock cancellation for all impoverished nations, not simply those that qualify for the IMF/World Bank HIPC initiative.
• Includes IMF debt.
• Avoids imposing economic conditions.
• Provides measures that empower civil society to be part of the solution and ensures accountability.
• Utilizes World Bank and IMF existing resources, including gold reserves, to finance this cancellation.

I congratulate the G8 for finally recognizing that 100% debt cancellation is needed for impoverished countries. However, delays over debates on how to finance debt cancellation forces African countries to continue to choose between paying their debt or providing health care and education for their people.

I will join millions of Americans and concerned citizens around the world in watching your actions in this life-and-death matter and expecting your commitment to achieving a historic breakthrough in canceling all of the multilateral debts of impoverished countries in 2005.

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