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DR-CAFTA and External Debt in Central America - Raul Moreno

Raul-cafta-revised2.doc

This document explores the treatment of debt in DR-CAFTA, the potential implications of public debt given the: A. imminent reduction of tax income resulting from the gradual tariff reduction B. the reduction of permanent ongoing income which is currently generated by State-owned public service enterprises, which will be lost when they are privatized and C. new loans which are being contracted within the framework of DR-CAFTA.