Treatment of maturities falling due from April 01, 2000 up to April 30, 2003
Repayment profile:
Treatment under Naples terms (cancellation rate of 67%)
Specific provisions:
Good will clause
In response to the request of the representatives of the Government of the Democratic Republic of Sao Tome and Principe, the Participating Creditor Countries agreed in principle to a meeting to consider the matter of the Democratic Republic of Sao Tome and Principe's debt service payments falling due after April 30, 2003 and relating to loans or credits pursuant to a contract or other financial arrangement concluded before April 1st, 1999, provided:
- that the Democratic Republic of Sao Tome and Principe continues to have an appropriate arrangement with the International Monetary Fund;
- that the Democratic Republic of Sao Tome and Principe has reached with other creditors effective arrangements meeting the conditions described in [the Agreed Minute dated May 16, 2005] and has reported in writing to the Chairman of the Paris Club, pursuant to [the Agreed Minute ] ;
- and that the Democratic Republic of Sao Tome and Principe has complied with all conditions set out in this Agreed Minute.
Phases
First phase : From April 01, 2000 up to April 30, 2001, implemented at the signature of the agreement
Second phase : From May 01, 2001 up to April 30, 2002, not implemented
Third phase : From May 01, 2002 up to April 30, 2003, not implemented
De minimis threshold of 150 000 SDR
Payment of non-consolidated amounts before October 31, 2000
Comparability of treatment provision:
In order to secure comparable treatment of its debt due to all its external public or private creditors, the Government of the Democratic Republic of Sao Tome and Principe commits itself to seek promptly from all its external creditors debt reduction and reorganization arrangements on terms comparable in net present value to those set forth in the Agreed Minute dated May 16, 2000 for credits of comparable maturity. Comparability of treatment for debt reduction in net present value is assessed not only on the basis of the reduction in the face value of the debt but also on the terms of repayment of the debts not cancelled.
Consequently, the Government of the Democratic Republic of Sao Tome and Principe commits itself to accord all categories of creditors -and in particular creditor countries not participating in the Agreed Minute, commercial banks and suppliers- a treatment not more favourable than that accorded to the Participating Creditor Countries.
For the purpose of the comparison between the arrangements concluded by the Government of the Democratic Republic of Sao Tome and Principe with its creditor not listed in the present Agreed Minute on the one hand, and with the Participating Creditor Countries on the other hand, all relevant elements will be taken into account, including the real exposure of the creditors not listed in the Agreed Minute, the level of cash payments received by those creditors from the Government of the Democratic Republic of Sao Tome and Principe as compared to their share in the Democratic Republic of Sao Tome and Principe's external debt, the nature and characteristics of all treatment applied, including debt buy backs, and all characteristics of the reorganized claims and in particular their repayment terms whatever forms they take and in general the financial relations between the Government of the Democratic Republic of Sao Tome and Principe and the creditors not listed in the Agreed Minute.
The Government of the Democratic Republic of Sao Tome and Principe will inform in writing the Chairman of the Paris Club no later than December 31, 2000 of the progress made for this purpose in negotiations with other creditors [of the Agreed Minute], and will communicate to the Chairman of the Paris Club the content of its bilateral agreements with these creditors.
In response to the request of the Government of the Russian Federation and in order to support Russia's efforts toward macroeconomic stability and sustainable growth, the Participating Creditor Countries agreed to continue to deal with the problem of the debts of the Russian Federation owed to Participating Creditor Countries contracted or guaranteed on behalf of the Government of the Former Soviet Union for which the Government of the Russian Federation has agreed to be responsible by the Declaration made in Paris on April 2, 1993 referred to hereabove in Article II paragraph 1., aiming at comprehensive solutions.
Discussions between the Government of the Russian Federation and the Participating Creditor Countries of comprehensive solutions will begin in the autumn of 2000, provided that the Government of the Russian Federation continues to implement the program supported by the stand-by arrangement approved by the International Monetary Fund Executive Board on July 28, 1999.
Negotiations aiming at an agreement providing for such solutions will take place expeditiously upon approval by the International Monetary Fund of a new arrangement in the upper credit tranches supporting an ambitious economic reform program, and compliance with all the conditions set out in this Agreed Minute, and especially the following :
- that the Government of the Russian Federation has made all payments due to the Participating Creditor Countries referred to in the present Agreed Minute ;
- that the Government of the Russian Federation has made substantial progress in concluding the bilateral agreements implementing the present Agreed Minute ;
- that the Government of the Russian Federation has complied with its commitments, referred to in Article IV paragraphs 1. and 2. above, to seek comparable treatment from its external creditors and not accord them more favourable repayment conditions than those accorded to the Participating Creditor Countries ; and
- that the Government of the Russian Federation has reported in writing to the Chairman of the Paris Club pursuant to Article IV paragraph 3. above.
De minimis threshold of 1 000 000 SDR
Payment of non-consolidated amounts before November 30, 1999
Comparability of treatment provision:
In order to secure comparable treatment of debts due to external public or private creditors, the Government of the Russian Federation commits itself to seek from its external creditors, including inter alia other official creditors, financial institutions and suppliers, rescheduling or refinancing arrangements on terms comparable to those set forth in the present Agreed Minute for credits of comparable maturity making sure to avoid inequality between different categories of creditors.
The Government of the Russian Federation commits itself not to accord any external creditors conditions of repayment for comparable credits more favourable than those accorded to the Participating Creditor Countries.
The Government of the Russian Federation will inform in writing the Chairman of the Paris Club not later than March 31, 2000 of the progress made for this purpose in negotiations with other external creditors and, when appropriate, of the content of its bilateral agreements with creditors mentioned in paragraphs 1. and 2. hereabove.
Cut-off date:
January 01, 1991
Organisation of the session:
The meeting was chaired by Mr. Francis MAYER, Chairman of the Paris Club.
The head of the debtor country's delegation was Mr. Mikhail KASIANOV, Minister of Finance.
