ABSTRACT
The summit of the Millennium Assembly would be an obvious location for leaders of all UN member states to forge a grand concordat; some details and non-official proposals could be worked out in the Millennium Forum. This chapter attempts to sketch a broader reform which might result from discussions at high level between the leaders of debtor and creditor countries once generous cancellation has been agreed. Active mediators like Professor Washington Okumu have brought up the subject of economic reform in the context of debt cancellation with Heads of State and Government with whom they engage. When funds are released in a debtor country either by cancellation, rescheduling or discharge, at least 20% of them should be ring-fenced for health services and 20% for education. Before loans are agreed a careful assessment should be made of the debtor country's ability to repay over the long term, using best available forecasting techniques.
