The IMF still needs fundamental reform if it is to be relevant to the global economy of the 21st century and to operate in the interests of ordinary people all over the world. We believe there are 4 key areas where these candidates must answer questions and that these questions should be answered in a public debate among the candidates.
The IMF has committed itself to ending European dominance of selection of its managing director, and introducing an open, merit-based and transparent process. This paper sets out the three key elements to ensuring a successful process next time: a focus on selecting the best candidate available; a clear, fair, and transparent process; and the legitimacy gained from the backing of a majority of countries as well as IMF voting shares.
This paper outlines the World Bank's involvement in the carbon market and reviews concerns about its impacts on greenhouse gas emission reductions and development.
The Climate Investment Funds (CIFs) are financing instruments designed to pilot low-carbon and climate-resilient development through the multilateral development banks (MDBs). They are comprised of two trust funds - the Clean Technology Fund (CTF) and the Strategic Climate Fund (SCF).
In early 2011 the World Bank will approve a new education sector strategy amid trends that mean that international goals on education will not be met. Zoe Godolphin of the University of Bristol argues that the Bank’s proposed approach fails conceptually because it does not accept that education is a human right. It also fails pragmatically because it continues to advocate a template approach instead of supporting genuinely country-driven priorities in education planning.
The World Bank Group's International Finance Corporation (IFC) lending has grown enormously over the past decade, with commitments reaching a record $18 billion in the 2010 financial year. At the same time, there has been a significant shift in the way the IFC does business. Increasingly, instead of managing its loans and investments itself, it relies on financial intermediaries such as banks and private investment funds. In the 2010 financial year, finance sector lending made up over half of al
Proposals to place climate funds at an institution like the World Bank, over which developing countries have limited ownership, have undermined the process of negotiations through the UNFCCC. However, G77 countries have stood against the World Bank and have firmly supported placing climate finance under the UN, despite a diversity of positions. Lobbying by the World Bank and key donors both in international and bilateral discussions to secure a significant and decisive position for the Bank with
This briefing explores the impact of capital account policy on international development. The liberalisation of capital accounts in developing countries has been promoted by international economic and financial institutions. However, with evidence showing the damaging economic, social and human consequences of unrestricted capital movement, tools to manage capital flows are increasingly being embraced by policy makers and academics.
While the intellectual thinking within some parts of the international financial institutions has recognised the usefulness of capital controls, there is yet to be formal acceptance of them within the International Monetary Fund (IMF). While the IMF's Articles of Agreement already contain important provisions about the rights of countries to use capital controls, consensus has not been achieved among the Fund's largest members on capital account management, despite its importance for both large
Much as developing countries have often taken the approach that "no deal is better than a bad deal" at the WTO, a strong joint negotiating position would leverage larger gains in the IMF governance reform process due to be concluded by the end of 2010. Possible gains from a tough negotiating position include a rewriting of the IMF quota formula, double majority voting, more developing country seats on the board, and an end to the US veto. Limited change at the Bank highlights potential pitfalls.
As the UK government reviews its funding and relationships with multilateral organisations, we argue that the World Bank Group's poor performance, lack of country ownership and accountability, and tendency to 'mission creep', require a focus on institutional and policy change at the Bank, and no increase in funding.
As pilot countries are selected and funding allocated, concern mounts over poor consultation, the weakness of some country proposals, and failure to address governance issues.
As the world celebrates the 75th anniversary of the Universal Declaration of Human Rights, it is time the IMF’s shareholders use the opportunities provided by the anniversary and growing calls for reforms to the international financial architecture to redesign the IMF’s governance structures and programmes to ensure they are consistent with the commitments outlined in 1948 and with international human rights law.
Influence of unreformed international financial institutions and creditor interests in debt solutions in low- and middle-income countries plagued by delay and ineffective when undertaken.
