China Signals Openness to Debt Relief for Poorer Nations Under Strict Conditions

China has indicated that it may drop its insistence that multilateral banks take losses in debt restructurings with poorer countries who owe money to global creditors.
The announcement came as creditors gathered to discuss how to speed up debt restructurings and revive bankrupt economies.
Research shows that up to $520 billion in debt may need to be written off to prevent default in heavily indebted developing countries.
Creditors will meet again to determine how different lenders will be treated, rules for payment suspension, and time limits for debt restructurings.
Germany and the IMF cautiously welcomed China's signals towards debt relief, calling them progress while noting the need to review transactions with China case-by-case.