HIPC Initiative

The Heavily Indebted Poor Countries (HIPC) initiative was launched in 1996 by the IMF and the World Bank with the aim of ensuring that no poor country has an unmanageably high debt burden. Donor countries and organisations provide financial assistance to the poorest countries following sound financial policies to help them reduce external debt.

See also: http://www.imf.org/external/np/exr/facts/hipc.htm