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> Recession hits the World Bank :-)
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Recession hits the World Bank :-)
Who would’ve thought that the Third World would get to see this day
Damn the recession! One can’t even keep quasi-nationalist and snobbish institutions insulated from the pungent smell of the Third World. Look at what’s going on at poor IMF and World Bank, two institutions who in the past have not only ensured that power and policy is dictated by the western world, but have also ignominiously had their own policies initiating economic crises in various parts of the world. The pretty poor World Bank is planning to introduce some changes in their constitution. In the new set up, emerging economies will get a bigger say in policy and decision making. And how did this doe-eyed garbled monster end up accepting such a huge ego destruction? Look no further than its prettier, and now much poorer cousin IMF.
Surprise surprise, the IMF is now eyeing countries like China, Brazil, Gulf countries, South East Asian countries and India to get some ‘funds’. Though Japan, which has been hit hard by global meltdown, continues to fork out large amounts of money for the IMF and World Bank (Recently, the Japanese government donated a gigantic $100 billion to the IMF), economists say the IMF would still need a minimum of $500 billion to start its ‘good work’ for battered economies globally. Not very strangely, the US and its allies are not in that comfortable a position to offset the additional amount after being severely affected by the global recession. Tier talk even goes of the US ‘guiding’ IMF towards Third World countries for its new loan requirements.
The hope of a more democratic and participative world where today’s influential countries are not necessarily the deciders of global policy, is becoming truer, strangely because of an extremely negative economic condition. The true emergence of multi-lateralism would perchance be proven only after the next few years are past and the IMF & World Bank’s cry wolf constitutional change is tested to the hilt. Till then, let them damn the recession!
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