Developing Countries Debt Relief Initiative for Poor Countries Faces Challenges Debt Relief Initiative for Poor Countries Faces Challenges

This report responds to your request that we 1 assess whether the enhanced Heavily Indebted Poor Countries Initiative is likely to free up resources for poverty reduction and achieve the goal of debt sustainability, 2 describe the strategy to strengthen the link between debt relief and poverty reduction and how this strategy is to be implemented, and 3 describe the challenges creditors face in fully funding the enhanced initiative.