Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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Question 302: To ask the Minister for Finance if his attention has been drawn to the campaign for the sale of IMF gold to fund debt cancellation; if he supports this campaign; and if he will make a statement on the matter. [19339/05]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I refer the Deputy to my replies to the House on a number of occasions between 8 March and 20 May 2005, on the subject of the use of IMF resources such as gold to fund debt relief in developing countries.

Adequate financing for debt relief is an essential precondition if such relief is to make a real difference in reducing poverty in many parts of the world. It is important to adequately finance the relief of debts owed to the International Monetary Fund so that the fund can continue to play a role in the poorest countries.

At the recent spring meetings of the IMF and World Bank there was preliminary discussion of key issues regarding proposals for further multi-lateral debt relief and its financing options. The meeting called for further discussion with shareholders and examination of the issues, including the possible use of IMF resources, by the time of annual meetings of the IMF and World Bank in the autumn. Financing the development agenda remains a significant challenge and substantial increases will be needed in order to progress to the targets of the millennium development goals.

I welcome the progress in relation to proposals for debt cancellation announced over the weekend following the G8 finance Ministers' meeting, in preparation for the G8 summit to be held in Gleneagles in July. It is understood that the G8 proposals to fund debt cancellation will be put to the annual meetings of the international financial institutions.