UNITED NATIONS, September 6 -- The International Monetary Fund, which in July told Inner City Press it had no program in Honduras and therefore, even after the coup, there was "no issue," is now under fire for its allocation of Special Drawing Rights to the country. The Honduran Central Bank has put out a press release bragging that
"At the initiative of the twenty industrialized and emerging countries (G-20), presided by the Prime Minister of England, Gordon Brown, the International Monetary Fund injects liquidity into the world economy and Honduras augments its international reserves by $150.1 million."
In response, on a Sunday when the IMF is closed Monday for U.S. Labor Day, the IMF told the press
"The IMF recently approved a global allocation of US$ 250 billion in IMF Special Drawing Rights to supplement all of the Fund's 186 member countries' foreign exchange reserves. It does not constitute aid money. In the specific case of Honduras, the present regime in de facto control is not able to use these SDRs until a decision is made on whether the Fund will deal with that regime as the government of Honduras."
But back in July, when Inner City Press asked IMF spokespeople Caroline Aktinson and William Murray, they replied that there was no issue, that no decision had to be made. At the IMF's July 16 briefing, Inner City Press asked if the expulsion of Manuel Zelaya from Honduras has given rise to any changes or discussions within the IMF. Ms. Atkinson responded that "we have followed the normal international practice." She said that "we don't have any program with Honduras."
But the IMF in June opened up a Technical Assistance Center for Central America, Panama, and the Dominican Republic (CAPTAC-DR) in Guatemala City. IMF Deputy Managing Director Takatoshi Kato was quoted that "this center is an example of strong regional cooperation in Central America, Panama and the Dominican Republic... A region with almost 40 million people has significant economic potential. The Fund is proud to be a partner in the effort to promote regional economic growth and development, and hopes that CAPTAC-DR will serve as an engine to push forward the objective of a more economically cohesive region.” The latest regional technical assistance center will serve Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, Nicaragua, and Panama.
When Inner City Press raised this in July and asked, "is there no change in IMF stance toward Honduras?" the IMF's response was that "On Honduras, we have no financial program there. It's not an issue per se."
So the IMF has a center which spend money to serve Honduras. Clearly the IMF likes to as long as possible dodge questions and, some say, accountability.
Footnote: At the UN, it is the position of the supporters of Zelaya that the General Assembly resolution prohibits any member state from sending observers to an election held by the coup leaders. Watch this site.And see, www.innercitypress.com/imf1honduras090609.html
