World Bank and IMF Loan makes Nation Poorer

Many developing nations are in debt and poverty partly due to the policies of international institutions such as the International Monetary Fund (IMF) and the World Bank.

Their programs have been heavily criticized for many years for resulting in poverty. In addition, for developing or third world countries, there has been an increased dependency on the richer nations. This is despite the IMF and World Bankâ€™s claim that they will reduce poverty.

Following an ideology known as neoliberalism, and spearheaded by these and other institutions known as the â€œWashington Consensusâ€ (for being based in Washington D.C.), Structural Adjustment Policies (SAPs) have been imposed to ensure debt repayment and economic restructuring. But the way it has happened has required poor countries to reduce spending on things like health, education and development, while debt repayment and other economic policies have been made the priority. In effect, the IMF and World Bank have demanded that poor nations lower the standard of living of their people.
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Source :- http://www.globalissues.org/article/3/structural-adjustment-a-major-cause-of-poverty

Real Life Example was What Argentina Faced during 1990.....

Source :- http://query.nytimes.com/gst/fullpage.html?res=9C0CE0D6153EF931A15754C0A962958260

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World Bank and IMF Loan makes Nation Poorer

tilak83in Peon

guerilla Notable Member

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World Bank and IMF Loan makes Nation Poorer

tilak83in Peon

guerilla Notable Member

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