2.10.2009 | 22:39
Stefna AGS hefur ekkert breyst. Stefnan gagnvart Íslandi er misheppnuð andlitslyfting.
To: Members of the United States Congress
Re: Why we Oppose the IMF Quota Increase
The undersigned labor unions, environmental, human rights, and other organizations and individuals from around the world are opposed to any increase in the size, power, or funding of the International Monetary Fund [IMF], and in particular are opposed to any increase in the quota of member countries. The disastrous impact of IMF-imposed policies on workers rights, environmental protection, and economic growth and development; the crushing debt repayment burden of poor countries as a result of IMF policies; and the continuing secrecy of IMF operations provide ample justification for denying increased funding to the IMF.
Economic Growth and Development: The IMF s overwhelming preference for high interest rates and fiscal austerity, even in the absence of any economic justification, has caused unnecessary recessions, reduced growth, hindered economic development, and increased poverty throughout the world. There is now a consensus among economists that the IMF s recent intervention in the Asian financial crisis actually worsened its impact. Many believe that the Fund bears the primary responsibility for turning the financial crisis into a major regional depression, with tens of millions of people being thrown into poverty and no end in sight.
Labor: IMF policies undermine the livelihood of working families. IMF policies have mandated mass layoffs and changes in labor law to facilitate or encourage mass layoffs, as happened recently in South Korea. IMF policies regularly force countries to lower wages, or often undermine efforts by governments to raise wages-- as, for example, in Haiti in recent years.
Environment: IMF policies encourage and frequently require the lowering of environmental standards and the reckless exploitation of natural resources in debtor countries. The export of natural resources to earn hard currency to pay foreign debts under IMF mandates damages the environment while providing no benefit to poor and working people in debtor countries.
Debt: IMF and World Bank policies have forced poor countries to make foreign debt service a higher priority than basic human needs. The World Bank claims that it is "sustainable" for countries like Mozambique to pay a quarter of their export earnings on debt service. Yet after World War II, Germany was not required to pay more than 3.5% of its export earnings on debt service. Poor countries today need a ceiling on debt service similar to the one Germany had. According to UN statistics, if Mozambique were allowed to spend half of the money on health care and education which it is now spending on debt service, it would save the lives of 100,000 children per year.
Openness of IMF operations: IMF policies which affect the lives of a billion people are negotiated in secret, with key conditions not released to the public. The people who bear the burden of these policies often do not even have access to the agreements which have been negotiated.
The policies of the IMF have undermined the ability of developing countries to provide for the needs of their own peoples. Such an institution should not be expanded.
Thank you for your consideration of our concerns.
Sincerely,
Initiators:
Walden Bello, Co-director, Focus on the Global South, Bangkok; Professor of Sociology and Public Administration, University of the Philippines
Carlos Heredia, Congressman, Mexico
Dennis Brutus, Jubilee 2000 Africa
Noam Chomsky, Professor of Linguistics, Massachusetts Institute of Technology
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