Debt For Equity

In our world today, there are 100 debt-ridden countries that must sacrifice
budget allocations for education, health care, housing development and
environmental friendly projects in the name of fiscal responsibility for
continued access to international lending institutions.

Debt forgiveness, moratorium or debt cancellation is not an option, Unabated, the vicious cycle of poverty will continue.

A creative program proposal designed to provide debt relief and release
additional funds for financing sustainable activities that are key to improving these nation's poverty level was introduced recently by one of the most heavily indebted country in Southeast Asia, the Philippines. Servicing its foreign debt this year alone will cost the Philippines roughly 245 Billion pesos in interest and principal payments.

The program proposes to convert 50 percent of the debt service receipts of
lending institutions and multinational commercial banks into equity development and anti-poverty projects that poor debtor countries are undertaking.

Employing the Philippines' reported figures as an indicator that could best
demonstrate the important benefits of the debt-for-equity program: the country has a foreign debt of around $ 55 Billion US Dollars. Servicing this debt will cost the Philippines roughly 245 Billion pesos in interest and principal payments in 2005 alone.. If 50 percent of that amount is freed under the Philippine's debt for equity program proposal, the Filipino people would have the equivalent of $2 Billion worth of anti - poverty projects, such as energy production, mass housing and reforestation.

The purpose of this petition is to specifically request the world leaders
attending the United Nations Global Summit to accept and implement the program as outlined in the debt-for-equity proposal by the Philippines, as proof of progress in the United Nation's on-going work to reduce poverty in the world and as reaffirmation of their faith in the Organization and its Charter.