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Video August 4, 2020

How Is Suspending Debt Service Payments Helping the Fight Against COVID-19? | World Bank Expert Answers

The coronavirus pandemic is putting tremendous strain on countries around the world – not least those who already have relatively limited resources. In April, the World Bank Group and International Monetary Fund called on bilateral creditors to allow developing countries to suspend their bilateral debt service payments and focus resources on responding to the pandemic. The plan was called the Debt Service Suspension Initiative (DSSI), and G20 Finance Ministers quickly agreed to support it. In the latest episode of Expert Answers, the World Bank Group’s Global Director for Macroeconomics, Trade and Investment, Marcello Estevão, answers our questions on how the program works and just how effective it has been.


Timestamps

00:00 Introducing Marcello Estevão, Macroeconomics, Trade and Investment Global Director, WBG
00:43 The impact of the pandemic in terms of debt distress
02:59 The Debt Service Suspension Initiative (DSSI)
04:08 Why are some countries not participating in DSSI
05:41 How are countries using the funds that they're saving by participating in DSSI
08:04 Thanks Marcello for sharing your expertise!
 

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Every episode of Expert Answers sits you down with a World Bank specialist: an expert answers with expert answers. From debt relief to gender equality. From COVID-19 response to inclusive growth, and much more. Our goal is to help you understand some of the biggest issues in international development today by asking our colleagues about what works on the ground and what we can do to meet the biggest global challenges. Watch previous episodes of Expert Answers!