Forum 2000: Bridging Global Gaps Conference Prague
October 17, 2003
The question of legitimacy of claims on southern countries is normally ignored when a sustainable level of debt is determined. Such a practice legitimizes such debt and will cause lenders to behave irresponsibly again in the future. Iraq with a total debt of approximately US$380 billion and a GNP of $25 billion is a star case of not just an unsustainable burden, but also of highly questionable claims by creditors who financed the dictator’s military buildup and affluent lifestyle.