For decades, countries
engaging with economic restructuring programs under the guidance of the
International Monetary Fund (IMF) have faced numerous challenges, which are
promoted as solutions to financial crises. The IMF and World Bank Spring
Meetings are scheduled to take place in mid-April next.
اضافة اعلان
My participation in many
of the annual and spring meetings of the IMF and the World Bank, in addition to
regional meetings, provided a unique opportunity to closely observe how these
significant institutions address global and regional economic and financial
issues.
It is worth noting that
the dialogue and consultations conducted by representatives of civil society
organizations and independent experts at these meetings with experts and
administrators of these institutions reveal fundamental challenges related to
economic growth inclusiveness, social protection, respect for human rights, and
international labor standards, and dealing with the impacts of climate change.
Moreover, the debate about
the ability of debtor governments to repay their debts and its effect on their
public spending capabilities, especially in social protection, emerges as a
significant issue in this context.
The World Bank's
protective safeguard policies, which include a set of social and environmental
standards, represent an attempt to balance economic development achievement and
the protection of people's fundamental rights. However, the actual application
of these standards and the extent of the partners' commitment to them remains
questionable.
The World Bank's protective safeguard policies, which include a set of social and environmental standards, represent an attempt to balance economic development achievement and the protection of people's fundamental rights. However, the actual application of these standards and the extent of the partners' commitment to them remains questionable.
The internal governance
of these institutions also becomes a topic for discussion, where a limited
number of Western countries control the decision-making process, raising
questions about fairness and balance in their economic and financial
orientations. This control affects the ability of these institutions to achieve
their stated goals of promoting inclusive economic growth and sustainable
development in developing and emerging countries.
It is noteworthy that
the direct objectives of the financial restructuring ‘reform’ programs,
implemented over the past decades in the majority of countries engaged with the
IMF, have not achieved the desired outcomes, and in many of them, the economic
and social situations have worsened.
The experiences of many
countries reveal numerous challenges in reducing debt and deficit levels
without sacrificing public spending in vital areas such as education,
healthcare, and social protection. Therefore, in the few cases where
improvements in public budget deficits were observed, it was at the expense of
essential aspects of citizens' economic and social rights, reaffirming the
significant challenges countries face in achieving a balance between financial
stability and social and economic development.
In this context, the
role of financial and monetary stability and its effects on different social
groups emerges as another discussion topic, where vulnerable social groups
disproportionately bear the cost of achieving this stability. This leads to an
urgent need for these institutions, especially the IMF, to reconsider their
directives and ‘conditions’ from the perspective of their policies' impacts on
sustainable development levels and human rights.
The experiences of many countries reveal numerous challenges in reducing debt and deficit levels without sacrificing public spending in vital areas such as education, healthcare, and social protection.
Furthermore, issues
related to the internal governance of these institutions and their
decision-making mechanisms require a critical evaluation that considers the
principle of transparency and fair participation of all member countries,
particularly the developing ones directly affected by their decisions, to
ensure a greater balance of power and influence within these institutions for
an equitable and effective representation of all members' interests.
The internal governance of these institutions also becomes a topic for discussion, where a limited number of Western countries control the decision-making process, raising questions about fairness and balance in their economic and financial orientations. This control affects the ability of these institutions to achieve their stated goals of promoting inclusive economic growth and sustainable development in developing and emerging countries.
Additionally, an absence of fairness in the
distribution system of Special Drawing Rights and the Surcharges-extra charges
-imposed by the IMF on borrowers exceeding a certain debt ceiling.
It is also important to
focus on the role that consultations with civil society can play in enhancing
transparency and accountability and their potential impact on the decisions and
economic directions of the IMF and World Bank. Efforts should be made to
enhance these consultations to make them more effective and influential in
shaping financial and economic policies, especially concerning the economic and
social rights of people.
Finally, the question of
the effectiveness of the safeguard policies operated and promoted by the World
Bank and the extent of the commitment of countries and partner institutions to
them arises, where these policies must be an integral part of financing
operations to ensure the achievement of sustainable and inclusive development
that respects fundamental human rights and protects the environment.
Ahmad M. Awad, A researcher on
Human Rights and Sustainable Development, director of Phenix Center for
Economic Studies, Jordan, @AhmadMAwad
Disclaimer:
Views expressed by writers in this section are their own and do not necessarily reflect Jordan News' point of view.
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