Publication

This paper has been prepared for the Bill’s Second Reading debate in the House of Commons. This is a Private Member’s Bill, introduced by Andrew Gwynne MP on 16 December 2009. The Government has previously consulted on legislation in this area, and supports this Bill, subject to certain conditions. The Bill seeks to limit the amount that can be recovered by any commercial creditor of those countries designated as having unsustainable external debts. The legislation would restrict the activities of so-called ‘vulture funds’, which buy developing countries’ sovereign debt at discounted prices, then seek to recover its value in full through the courts.