In the News
Campaigners urge IMF to sell gold to provide debt relief
The Jubilee Debt Campaign is calling for the IMF to sell off some gold reserves to provide debt relief for poor countries during the coronavirus pandemic.
It is an interesting thought - global gold prices are high, and the demands being made on governments across the developing world are also severe, so would this make sense?
Of course, some would suggest that there's a moral hazard argument here, in that it would encourage countries not to be overly concerned about running up debt in future. However, does this really apply in the current circumstances?