In December 2013, the IMF released an ex post assessment (EPA) of its 2006-2011 lending programme to Grenada. The IMF examined its $28 million loan (see Observer Winter 2014) and concluded that Grenada failed to meet key structural reform measures. The report, compiled by the Fund staff, admits that the “too optimistic” programme failed to take into account Grenada’s political and institutional constraints, and that “programme ownership was also in question”. The EPA identified lessons that should inform the designs of future programmes, as the IMF projections repeatedly missed Grenadian reality by assuming positive outcomes in a country in crisis. In early February, the government proposal of a three-year wage freeze, seen as a precondition for a new IMF loan, was rejected by Madonna Harford, head of Grenada’s Trade Union Congress, as it “would leave public sector workers at a disadvantage in the long run”.
23 January 2014
Renewed calls for a substantial SDR allocation raise urgency of reforming the inequitable global reserve ‘non-system’.
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The Bretton Woods Project is a UK-based NGO that challenges the World Bank and IMF and promotes alternative approaches. We serve as an information provider, watchdog, networker and advocate. Our flagship publications are the Bretton Woods Observer, a quarterly critical review of developments at the World Bank and IMF, the Dispatch, a biannual analysis of the World Bank and IMF Spring and Annual Meetings, and the NewsLens, a bi-weekly roundup of key news and critical viewpoints published about the World Bank and IMF.
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