Poor countries get a say in IMF

Published: Saturday 31 May 2008

Poor nations have been given a little more say in the International Monetary Fund (imf). On April 28, members of the imf approved a proposal to give developing countries more power in the institution.

The reform has increased voting rights of developing countries from 31.7 per cent to 34.49 per cent. Most of the increase goes to emerging economies, which means countries like India, China and Brazil will now have more say within the imf. Accordingly, voting power of rich countries has been reduced from 60.57 per cent to 57.93 per cent. Developing countries have been complaining for years that they do not have enough say within the imf. Its assistance to developing countries in the past has been linked to several policy conditions, raising doubts over imfs intention.

Developing countries agree this is the biggest change in voting rights in their favour in the IMF in the past 60 years. But it is a case of too little too late.

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