Norwegian Government cancels Malawi’s debt

The Norwegian Government agreed today to cancel the Republic of Malawi’s remaining NOK 3.8 million debt to Norway.

The debt cancellation agreement with Malawi is part of the international Initiative for Heavily Indebted Poor Countries, known as the HIPC initiative. The agreement follows the conclusion of a multilateral framework agreement by the Paris Club in October 2006, by which Malawi secured a final settlement under the HIPC initiative and Norway committed itself to cancelling all of Malawi’s remaining debt.