Since 2020, successive economic shocks have led to the loss of $3.6 trillion of the global output, stated IMF chief Kristalina Georgieva in aon October 5, meant to kick off the series of meetings. Georgieva’s speech did not acknowledge the enduring role of the IMF and the World Bank in hollowing out state capacity to address socio-economic challenges. The U.S.
The IMF chief cited the energy subsidy “reform” in Nigeria as one such example of a “tough decision” in the right direction. What was not noted is the move led to fuel pricesFifty-seven percent of the world’s poorest countries, home to about 30 percent of the world’s population, will have to cut their public spending byby 2029. Low and lower-middle-income countries will be forced to pay almost $500 million every day in interest and debt repayments from now until that year.
“The World Bank and IMF are returning to Africa for the first time in decades with the same old failed message: cut your spending, sack public service workers, and pay your debts despite the huge human costs,”Oxfam’s interim Executive Director, Amitabh Behar. “The IMF is forcing poorer countries into a starvation diet of spending cuts, driving up inequality and suffering,” Behar added.).
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