The IMF: Rescues or Enslaves?
International Monetary Fund... The IMF... Does it rescue or enslave countries?
Let me ask another way; Is it a device to save or to conquer?
The main function of the IMF is; to fund member countries by supplying loans. But only on one condition; member country has to accept every term the IMF dictates. Which are called “structural adjustments”.
Basically; the organization wants to be sure debt is going to get paid whatever it takes. There are very critical terms that the IMF asks member countries to accept through negotiations. To apply higher tax on wages, a late retirement age or an increase on VAT… The terms which makes life harder and expensive for a citizen.
Although the IMF claims that these criteria are essential for saving an economy, the results tell us different things. Until now, no country has recovered its economy by receiving loans from the organization. Conversely their economies are being destroyed by the terms dictated. Pakistan, Argentina, Greece and many others has suffered from debt crisis. Far from saving their economies, they've all turned into debt addicts. And this addiction brought depreciated currency, higher interest rate, inflation and unemployment all together.
Considering the cases, the organization focuses on something different from structural reforms. So, think twice before asking the IMF to fund.
Your country might be turned into a slave...
A debt addicted slave...