The World Bank and IMF perceive themselves as institutions that try to help combat poverty by providing loans to developing countries. However this is not the case !!!!
The World Bank and IMF, which was created in 1944, are the two most powerful institutions in global trade and finance that is heavily dominated the the United States. what is more worrying is that both institutions are controlled by a $1 one vote rather than one country one vote. Therefore the US holds a 17.16% voting share in the IMF and 16.41% voting right in the World Bank.
With both institutions now so heavily dominate by the US, the World Bank and IMF would become instruments of US foreign policy, in that both will fully integrate the third World in the US dominated global capitalist system. different programmes had been created to help the third world countries to develop and reduce poverty however in the expense of countries having to implement capitalist characteristics:
- cut public spending
- raise interest rates
- privatise state enterprise
- increase exports
- reduce barriers to trade and foreign investment such as tariffs and import duties
These are characteristics that will end up destroying third world countries. With borrowing countries having agreed to these terms they therefore become have capitalist ideas and the ‘Core’ countries are able to exploit the ‘Periphery’.
The World Bank and IMF are just puppets for the US government to exploit poorer countries to gain their raw materials, land and providing a bigger market for the rich to make money as capitalism is all about making profit. The institutions are destroying peoples lives in developing countries with a decrease in education levels and an increase of diseases just to name a few.
STOPPPPPP CAPITALISM !!!!!!