Introduction
1Meaning of “qualifying debt” etc
1
This section applies for the purposes of this Act.
2
“The Initiative” means the enhanced Heavily Indebted Poor Countries Initiative of the International Monetary Fund and the World Bank.
3
“Qualifying debt” means a debt incurred before commencement that—
a
is public or publicly guaranteed,
b
is external,
c
is a debt of a country to which the Initiative applies or a potentially eligible Initiative country, and
d
in the case of a debt of a country to which the Initiative applies, is incurred before decision point is reached in respect of the country.
4
For the purposes of subsection (3) treat a debt incurred after commencement as incurred before commencement if (and so far as) it replaces one incurred before commencement.
5
For the purposes of subsection (3)(d) treat a debt incurred after decision point as incurred before decision point if (and so far as) it replaces one incurred before decision point.
6
“Potentially eligible Initiative country” means a country—
a
that the International Monetary Fund and World Bank identify as potentially eligible for debt relief under the Initiative, and
b
in respect of which decision point has not been reached.
7
Decision point is regarded as reached in respect of a country if it is so regarded for the purposes of the Initiative.
8
For the meaning of other expressions used in subsection (3), see section 2.
9
“Country” includes a territory.
10
“Commencement” means the commencement of this Act.
11
If the terms of the Initiative are amended after commencement in such a way as to change a relevant eligibility condition, this Act has effect as if they had not been so amended.
12
In subsection (11) “relevant eligibility condition” means a condition as to the level of a country's income or debt or the size of its economy that must be met in order for the country to be eligible for debt relief under the Initiative.