UN report calls for end to Corona virus debt crisis

UN report calls for end to Corona virus debt crisis

ISLAMABAD: The Sustainable Development Report 2020 (FSDR) calls for a halt to the debt crisis.

The report said that it would create an immediate suspension of debt repayment crisis for the less developed countries who have demanded loans.

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The report, released Friday by the UN Task Force on Development, a UN-supervised financing agency, emphasized that bilateral lenders at the state level should guide and provide new financing to others. Similar or similar measures should be considered.

FSDR 2020 called on governments to take urgent steps to prevent a catastrophic debt crisis and to adopt an emergency strategy to tackle the economic and financial catastrophe caused by the Cod19 pandemic.

The report said that the risk of debt will likely increase in the most vulnerable countries, 48% of the less developed and other low income developing countries are worried about debt.

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The report said that the number of people affected by the virus could rise and that the global economy and commodity prices would rise.

In addition, the report warned that pressure on oil exporters would be high.

The report calls for the restoration of financial stability by providing liquidity for other issues, especially for emerging markets.

It added that governments should adopt a globally integrated approach to address the factors contributing to the decline in economic activity and to the countries in need.

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According to the report, the integrated approach includes the following activities, such as increasing healthcare costs, keeping small businesses active for social security, government transfers, debt consolidation and other national initiatives.

The FSDR2020 calls for a significant increase in privileged international financing, and comprehensive development is given importance by eliminating trade barriers that promote trade and limit the supply chain.

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