Unhealthy conditions: IMF loan conditionality and its impact on health financing
Eurodad report and video
The International Monetary Fund (IMF) practice of attaching policy conditions to its loans for crisis-hit countries continues to trigger outrage and protest. This report investigates the conditions attached to the IMF loans for 26 country programmes that were approved in 2016 and 2017. In at least 20 of those countries, people have gone on strike or taken to the streets to protest against government cutbacks, the rising cost of living, tax restructuring and wage bill reforms pushed by IMF conditionality.
They have good reasons to complain. The fact that the IMF imposes reforms undermines sovereignty, democratic decision-making and ownership for reforms in affected countries. The type of reforms that the IMF imposes through programme conditionality affects governments’ ability to provide public services, their capacity to fulfil their human rights obligations towards citizens, and ultimately impacts on people’s living conditions.
This new Eurodad study on IMF conditionality assesses first how intrusive IMF programmes are. We took a thorough look at the IMF’s conditionality databases, as well as at relevant programme documents, in order to assess how many conditions the IMF is actually imposing. We counted the conditions for loans approved in 2016/17 and compared the findings with our previous study that covered IMF programmes approved in 2011 to 2013.
We found that the number of IMF conditions is increasing. This finding stands in stark contrast to IMF’s own stated intentions of streamlining conditionality, and focusing on macro-critical conditionality.
Short tweetable film #IMF #UnhealthyConditions: https://www.youtube.com/watch?v=Qrw1m-Vd54o&feature=youtu.be
Report on Eurodad’s website: https://eurodad.org/unhealthy-conditions
Resource: November 2018
Resource URL: http://www.citizensforfinancialjustice.org/wp-content/uploads/2018/12/Eurodad-unhealthy-conditions-imf-loand-conditionality-finance-report.pdf