1. The Problems of Third World
Debt!

2. A Burden of debt.
• Many of the World’s countries are poor. They
do not have clean water supply, food,
electricity and other recourses. So they need
millions of dollars to run their countries and
improve their lives. This is also one of the
most important reason which made many of
the countries lag far behind in development!

3. How the debts arose.
• Many of the poor countries borrow money
from the rich countries to develop
themselves. They borrow loans from World
Banks , International Monetary Funds (IMF),
High Street Banks and other governments and
promise them to return it as soon as possible
along with the interest.

4. Why the lenders were happy to land?
• The richer countries happily lend plenty of
money because they knew they have enough.
They would collect interest each year too.

5. The Result!
• The result is that, soon the poor countries are
unable to return the money so they have to
close the schools and hospitals and apply
more taxes on people.

6. Tackling the problem!
• People in richer countries put pressure on
their government to cancel all the third world
debts.