By Matthew Russell Lee
UNITED NATIONS, July 21 -- With a currency war now threatened between newly independent South Sudan and the north, and the Contact Group on Libya recognizing the Benghazi-based rebels as the government, Inner City Press on Thursday asked the International Monetary Fund about its role in both countries.
IMF spokesman David Hawley replied, “As you know, South Sudan has applied for membership with the Fund, announced April the 20. Concerning out involvement on currency issues. earlier this year the Fund provided technical advice on currency issue including options on an exchange rate regime and a road map for an orderly introduction of a new currency.”
The introduction, of course, has been less than orderly, with north Sudan threatening to not redeem Sudanese pounds circulating in the South. So what happened?
Hawley continued, “Things have moved on since the time of that technical assistance, advice... We have not been involved in the launchng of the new currency announced this week. Going forward we stand ready to assist the government of South Sudan to manage its monetary policy.”
He concluded, perhaps understandably, “I don't have a specific comment on the currency wars.”
Inner City Press had submitted its questions to the IMF in Washington by computer in New York -- specifically, from a laptop at a table in front of the UN Security Council where both Sudan and Libya are considered. To the reporters in the room in DC, Hawley explained that South Sudan is not a member, but in the context of technical assistance, the IMF can give it to non members of the Fund.
Inner City Press then reiterated a question about Libya it had earlier e-mailed to the IMF, with this new information: since the IMF can assist non-members, now that the Contact Group on Libya has recognized the National Transitional Council as the government of Libya, can the IMF provide the NTC with technical assistance?
Hawley replied, “At this stage the role of the Fund is to closely monitor developments and we stand ready to engage further as soon as conditions allow. But there isn't anything fresh on contacts.” And so it goes at the IMF - which won't have another briefing until April 18 - and in Benghazi and Juba. Watch this site.
