World Bank looking to cut poor nations’ debt stock, Malpass says

The World Bank is looking at ways to reduce the amount of debt owed by poor countries -- rather than simply delaying repayments -- to attract more investors in the wake of the global pandemic and recession, President David Malpass said.

The coming months, including the annual meetings of the World Bank and International Monetary Fund in October, present a good time for action, Malpass said in a Bloomberg Television interview with Tom Keene. Malpass said he also sees an opportunity to extend repayment relief under the Debt Service Suspension Initiative that started in May into 2021, an option that he believes has support from the Group of Seven and Group of 20 nations.