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International Monetary Fund

IMF Warns Of ‘Wave Of Debt Crises’ Coming In Global South

The International Monetary Fund (IMF) has said a “wave of debt crises” may be coming in the Global South, and “the global economy is headed for stormy waters,” as the world faces a “geopolitical realignment” that will be “permanent.” The US-dominated financial institution warned “the worst is yet to come,” as the depreciation of most currencies against the dollar and rising interest rates make it hard for both governments and companies to service their dollar-denominated debt. The director of the IMF’s research department, Pierre‑Olivier Gourinchas, made these comments in a press briefing on October 11. Countries comprising a third of the entire global economy are expected to contract in 2022 or 2023, he prognosticated. “In short, the worst is yet to come; and for many people, 2023 will feel like a recession,” he said.

IMF Cuts Growth Forecast And Targets Wages

In its World Economic Outlook report issued yesterday, the IMF said global growth for this year would be 3.6 percent, down 0.8 percentage points from its estimate in January and 1.3 percentage points lower than the forecast six months ago. For 2021, it said growth would come in at 6.1 percent. These figures, however, only partially depict a picture of a rapidly worsening economic outlook amid continuing supply chain constrictions due to the COVID-19 pandemic and surging inflation, exacerbated by the war in Ukraine and tighter monetary policy, as central banks lift interest rates. The WEO report said “unusually high uncertainty” surrounded its forecasts and “downside risks to the global outlook dominate.”

87% Of IMF Loans Forcing Austerity On Crisis-Ravaged Nations: Analysis

The conditions of nearly 90% of the International Monetary Fund's pandemic-related loans are forcing developing nations suffering some of the world's worst humanitarian crises to implement austerity measures that fuel further impoverishment and inequality, an analysis published Tuesday by Oxfam International revealed. Oxfam found that "13 out of the 15 IMF loan programs negotiated during the second year of the pandemic require new austerity measures such as taxes on food and fuel or spending cuts that could put vital public services at risk." This stands in stark contrast with IMF managing director Kristalina Georgieva's admonition to the European Union last year that the wealthy bloc should not endanger its economic recovery with "the suffocating force of austerity."

Are Western Countries Determined To Starve The People Of Afghanistan?

On January 11, 2022, the United Nations (UN) Emergency Relief Coordinator Martin Griffiths appealed to the international community to help raise $4.4 billion for Afghanistan in humanitarian aid, calling this effort, “the largest ever appeal for a single country for humanitarian assistance.” This amount is required “in the hope of shoring up collapsing basic services there,” said the UN. If this appeal is not met, Griffiths said, then “next year [2023] we’ll be asking for $10 billion.” The figure of $10 billion is significant. A few days after the Taliban took power in Afghanistan in mid-August 2021, the US government announced the seizure of $9.5 billion in Afghan assets that were being held in the US banking system. Under pressure from the United States government, the International Monetary Fund also denied Afghanistan access to $455 million of its share of special drawing rights, the international reserve asset that the IMF provides to its member countries to supplement their original reserves.

Zambia Is The Tip Of The Tail Of The Global Dog

On 12 August 2021, the people of Zambia will vote to elect a new president, who will be the seventh person elected to the office since Zambia won its independence from the United Kingdom in 1964 if the incumbent loses. The incumbent, President Edgar Lungu, is facing a strong challenge from Fred M’membe, the presidential candidate of the Socialist Party Zambia. M’membe knows the importance of a challenge. As the editor of The Post since its creation in 1991, M’membe has long faced malicious harassment and political persecution. The voice of M’membe’s The Post sizzled with truth-telling; silenced in 2016, it was reborn as The Mast. In 2009, an editorial in The Post described how, despite decades of independence, Zambia remained in the claws of an unjust world system.

Paradise For Human Victims Of Corporate Persons

Any day now, Zambia will be the first African country to slip into a private debt default. It can only pay interest on the $3 billion in dollar-denominated bonds if it totally ignores the needs of the Zambian people. The country has suffered from the slowdown of the world economy, which impacted the sale of its copper for a part of this year (although copper prices and future prices have now begun to rise). Cosmas Musumali, the general secretary of the Socialist Party of Zambia, says that the convulsions of indebtedness are not only due to the coronavirus recession but also to the wealthy bondholders and to the ‘cluelessness’ of the government of President Edgar Lungu of the Patriotic Front.
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