>>> <uvj at vsnl.com> 05/09/2008 6:48 PM >>>
NhanDan
http://www.nhandan.com.vn/english/
Last updated: 17:39 - May 8, 2008
Vietnam wants to closer co-operation with World Bank http://www.nhandan.com.vn/english/news/080508/domestic_v.htm
^^^^^ And if the WB is anything like the IMF , it probably needs all the friends it can get.
Subject: [50Years] IMF loses last major client Date: Fri, 9 May 2008 11:07:40 -0400
Today's news that Turkey is unlikely to renew its standby agreements with the IMF is huge. As many of you will remember, back in 2003, the IMF was receiving more than 60% of its revenue from interest repayments from its four major clients - Brazil, Argentina, Indonesia and Turkey. The first three of those four were unhappy enough with the
IMF that they did not renew their loans and even went so far as to repay outstanding debt early, thereby saving themselves considerable interest payments. These moves were enough to precipitate a serious financial crisis for an institution that has had its hand in nearly every major financial crisis around the globe since 1980.
In April, the IMF announced that it would be cutting 15% of its staff and selling $11 billion worth of gold as part of its own "structural adjustment" program; the institution's budget had already decreased by
about 20% since 2005. The IMF's financial plan will likely have to be
revised yet again - and further budget austerity measures put in place - if they lose their last major client. And if Turkey goes one step further and repays its debt early (like Brazil, Argentina and Indonesia before it) this could signal the end of the end for an institution that once dictated economic policies the world over.
http://www.nytimes.com/reuters/world/international-turkey-imf.html Resenting Austerity, Turks Want No New IMF Deal
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