Amid Lagarde & DSK Scandals, IMF Won't Answer on Belarus or Jamaica

By Matthew Russell Lee

UNITED NATIONS, June 9 -- Without a managing director, without transparency and seemingly without regard to human rights, the International Monetary Fund is negotiating with Belarus about a loan larger than the $3 billion the Russians lent, conditioned on privatization to Russian firms.

During the IMF's bi-weekly briefing on June 9, Inner City Press submitted this question:

“On Belarus, what is the IMF's thinking after Russia cut electrical supply this week, after crackdown on online protests and long sentences to political opponents, and what does the IMF say that to require privatization would be serving Russian buyers of Belarus assets?”

IMF spokesperson Caroline Atkinson, facing in-person questions about Dominique Strauss Kahn, took three online questions -- about Pakistan, Argentina and Latvia -- but not this Inner City Press question about Belarus (nor another one, about Jamaica).

After not acknowledging the timely submitted questions during the briefing, afterward Inner City Press received this email from the IMF about Belarus:

Subject: Your question on Belarus
From: [ ] @imf.org
Date: Thu, Jun 9, 2011 at 10:43 AM
To: Matthew.Lee [at] innercitypress.com

Matthew, With regard to your question today on Belarus. As you probably know, a previously scheduled IMF mission is currently in Minsk (the dates are June 1-13) to conduct post-program monitoring. The standing policy has been that we don’t comment on specific country matters while missions are in the field and discussions are in progress. We will update the press on the mission’s outcome when it concludes.

The purpose of this mission is to discuss policies that would restore economic stability and put the economy on the path of strong and sustainable growth. The mission will use the opportunity to exchange views with the authorities on possible next steps in response to their request for the Fund-supported program.

Regards, [ ] IMF Press Office

It's been reported that IMF Head of the mission Chris Jarvis has met Deputy Prime Minister Sergey Rumas. Inner City Press replied with a request to be informed of any IMF press conference call about any announcement with Belarus, but the IMF press person who had replied was listed as out of the office.

On Jamaica, the IMF asked for more specifics, to which Inner City Press replied:

Jamaican Finance Secretary Wesley Hughes met with the IMF, now returns to Jamaica for talks with trade unions, in connection with which Minister of State in the Ministry of Finance and the Public Service, Senator Arthur Williams, has spoken of the “Government’s inability to pay the $20 billion owed this year, and has proposed an extended payment period, to protect the gains made in the economy and to preserve its agreement with the IMF.”

So 1) does the IMF dispute that the Jamaican gov't can't pay, must extend the payment period “to preserve its agreement with the IMF”?

Separately, 2) what did the IMF tell Finance Secretary Hughes about this?

After not taking this question during the briefing, then asking two rounds of counter questions about it, the IMF finally replied:

Subject: RE: FW: Question Received (6/9/2011 10:10:02 AM)
From: [ ] @imf.org
Date: Thu, Jun 9, 2011 at 1:14 PM
To: matthew.lee [at] innercitypress.com

Matthew, We are not going to make any comment on ongoing negotiations between the administration and the unions. I would refer your questions to the Jamaican authorities.

The government’s commitments related to the program are outlined in the documents of the second and third reviews of the stand-by arrangement, which you can consult online in the Jamaica page [of the IMF].

So, after not acknowledging the timely submitted questions during the briefing, and even asking questions about the questions, the IMF declined to answer either of them. Some transparency. The IMF did not even respond to repeatedly emailed questions about its policies on gifts. To be continued.

At IMF, DSK Dismisses “French Questions,” None Taken on Cote d'Ivoire

By Matthew Russell Lee

WASHINGTON DC, April 14 -- Dominique Strauss Kahn was filled with bon mots and seeming bonhommie at his press conference at the IMF on Thursday. Perhaps it was because the questions and questioners were carefully selected, and those DSK didn't like, he didn't answer.

An RTL radio reporter asked him in French if by the Fall the IMF might have a new Managing Director -- that is, if by then DSK will already by campaigning to replace Nicolas Sarkozy.

“The French part of the question,” Strauss Kahn told the rest of the hall in English, “is irrelevant.” He added, in French, that he would answer questions later in that language, but only on the topic of the IMF's and World Bank's Spring Meetings.

But even on major IMF topics, DSK did not take questions. There was nothing on Ireland or Iceland, and as spokesperson Caroline Atkinson called the session to a close, a reporter cried out, “Please, one question about Portugal!” But no.

Inner City Press, which does its best to get questions answered at the IMF's biweekly online briefings, held hand aloft for the entire press conference. Perhaps DSK would have dismissively characterized as “a French question” any inquiry about Cote d'Ivoire, where the IMF in January told Inner City Press it had suspended its programs due to instability.

Before Strauss Kahn spoke, the President of the World Bank Robert Zoellick held his own press conference. It had many fewer jokes, but more information -- and not only his answer to Inner City Press on Libya and Yemen.

On Cote d'Ivoire, Zoellick said he would be meeting in the next days in DC with former IMF official Alassane Ouattara's finance minister Charles Koffi Dibi.

Will Strauss Kahn be participating in this meeting? If not, why not? Or is that too a “French question”? Watch this site.

IMF Fudges on Ireland & Democracy, on Africa's Reduced Votes, Maldives Deferred

By Matthew Russell Lee

UNITED NATIONS, December 2 -- At the IMF's press briefing on December 2, spokesperson Caroline Atkinson took question after question about Ireland while deferring answers on the Maldives and East African Community and ignoring questions submitted about IMF chief Dominique Strauss Kahn's statement that his successor should come from outside the US or EU.

The IMF talks much about governance reform, but even under its much hyped recent changes, Africa as a continent will see its voting share drop from 5.9 per cent to 5.6 per cent. Inner City Press asked Thursday about this, and this was one question Ms. Atkinson took. She referred to “dynamic and emerging” economies -- apparently not in Africa -- but said that lower income countries would also have their voices amplified.

Inner City press had submitted this simple question: “In light of Mr Strauss Kahn's statement that next IMF chief should come from outside the US and EU, is he going to formally propose that to the Board or any other step?” The question was not taken or acknowledged. We'll see.

On Ireland, despite massive protests and statements by the opposition that they are not bound by the deal with the IMF, Ms. Atkinson said that the IMF had “discussions with the major, uh, the opposition parties” and was “satisfied” enough to present the deal to the IMF Executive Board.

But what does this mean? Are successive governments bound by IMF deals? Inner City Press had first submitted this question: “on Ireland, what is the IMF's position on approvals needed inside the country?” But the question was neither taken nor even acknowledged.

Also on democracy, Ms. Atkinson was asked about Ukraine's President vetoing an IMF suggested tax increase due to protest. Ms. Atkinson said she hadn't heard of it, but would provide information later if she did. Inner City Press had asked it. So again, we'll see.

On IMF Quota Changes, Spin War Emerges, IMF Role in Debt of Sudan Questioned

By Matthew Russell Lee

UNITED NATIONS, November 18 -- After the International Monetary Fund's board agreed on November 5 to move six percent of powers to developing countries, the IMF says that “most commentary was positive.”

But when Inner City Press asked UN Assistant Secretary-General for Economic Affairs Jomo Kwame Sundaram about it on November 16, he said that two thirds of the six percent comes from “other developing countries,” and that the quota system should be further reformed. Video here, from Minute 21:30.

At the IMF's biweekly briefing on November 18, Inner City Press asked IMF spokesperson Caroline Atkinson about this criticism. She said she wasn't aware of it (since “most commentary was positive”) and argued that 80% came from “advanced economies” and the rest from “a small number of oil producing” countries which she said are technically classified as developing.

Ms. Atkinson then said that of the 187 members, 110 countries saw their quotas increase, 102 of them emerging and dynamic countries -- another euphemism for developing?

These two very different views of the changes turn on how one defines developing. While the UN often mis-classifies these, to rely entirely on the IMF to assess the seriousness of IMF reforms also seems unwise.

Inner City Press also submitted two country specific question, the first of which on Sudan Ms. Atkinson read out and acknowledged, promising a later answer:

On Sudan, both Hillary Clinton and the UK's William Hague on Nov 16 said they are in talks about reducing the national debt as an incentive for the Southern Sudan secession referendum scheduled for January 9. Is the IMF involved in any such talks? Can the IMF play any role in reducing Sudan's debt? [We will publish the IMF's answer - watch this site.]

On Democratic Republic of Congo, what is the IMF's reaction to the shortfall in Paris Club debt reduction (“82.4 percent reduction of Congo's debt stock, short of the 90 percent target”) and to the pace of reforms in the DRC?

Watch this site.

Amid IMF Hardball in Pakistan on Textiles & Tax, IMF Silent, on Ukraine Taxes Too

By Matthew Russell Lee

UNITED NATIONS, November 4 -- After the floods in Pakistan, the International Monetary Fund said it was much concerned, was only waiting for a joint assessment mission in order to consider how to help the country.

Now an IMF team in Islamabad is back to playing hard ball, about not only the country's utilities but now its textile sector.

At the IMF's November 4 briefing, Inner City Press submitted two questions, including

“Given the ongoing humanitarian situation in Pakistan, please explain report that “IMF has turned down Pakistan’s request to exempt textile sector from Reformed General Sales Tax.”

To this, spokesperson Caroline Atkinson merely said that with an IMF team in the country, she would not comment. But Pakistani officials have been speaking, off the record, about the IMF's demands.

Inner City Press also submitted this question, while Ms. Atkinson was still speaking:

“In Ukraine, some 2000 small businesses have protested tax increases on them, which they blame on the IMF. What is the IMF's response?”

After the briefing, the following arrived:

Dear Mr. Lee: Regarding your question on Ukraine that came in after the briefing was concluded please be advised that the following can be attributed to an IMF spokesperson:

“The IMF supports the modernization of the tax system in Ukraine in a manner that is consistent with medium term fiscal sustainability. An IMF mission is currently in Kyiv for the first review under the Stand-By Arrangement. The mission will be discussing with the authorities the draft tax code to ensure that is consistent with the program and promotes the rationalization of the tax system, broadens the tax base, and strengthens tax compliance”.

Tell that to the 2000 protesters. Watch this site.

On Pakistan, IMF Won't Explain Lack of Debt Relief, Why & When Loans, MDG Games

By Matthew Russell Lee
www.innercitypress.com/imf1mdgpak090910.html

UNITED NATIONS, September 9 -- Despite the flooding crisis in Pakistan, the International Monetary Fund is offering loans, which barely make up for the debt payments Pakistan is making. Inner City Press on September 9 asked IMF Spokesperson Caroline Atkinson the following question:

“In Pakistan, given the scope of the flooding and that 60% of the population lives in poverty, why is the IMF not considering debt forgiveness, and grants instead of loans? Does IMF dispute that Pakistan's debt payments ($500 million) are larger than the $450 million loan?”

Ms. Atkinson paraphrased the first part of the question, and declined to read out the second part. She said there was a question from this reporter, that “talks about the scope of the flooding, which is indeed terrible... We are assessing, there is a damage assessment by the World Bank and ADB [Asia Development Bank], results in late October.”

But there is no dispute that Pakistan is deeply damaged. Why use the damage assessment as an excuse? Ms. Atkinson went on to say that Pakistan's financial minister was at the IMF last week, discussing an ENDA (emergency) loan that she said will be approved by the board on a date not even set yet.

But she did not read out, or answer, this: “Does IMF dispute that Pakistan's debt payments ($500 million) are larger than the $450 million loan?”

Nor did Ms. Atkinson acknowledge another question Inner City Press submitted, after in her introduction she presented the IMF's commitment to what she called the “Millennium Development Challenge Goals” -- seeming to conflate the MDGs with the U.S. Millennium Challenge.

Inner City Press submitted this question, in the same manner as the paraphrased Pakistan question, that NGOs have

“criticized the IMF 'for appearing to retreat to its “traditional position" and not providing enough flexibility on unwinding deficits without harming development spending.' Your response?”

To this, no answer. Watch this site.

And see, www.innercitypress.com/imf1mdgpak090910.html

As Romanian Court Rules Against Pension Cuts, IMF Nods at 5% VAT Increase

By Matthew Russell Lee
innercitypress.com/imf4romania070110.html

UNITED NATIONS, July 1 -- Romania's Constitutional Court has struck down the pension cuts connected to the International Monetary Fund's facility to that country. On July 1 Inner City Press asked IMF Spokesperson Caroline Atkinson for the IMF's reaction to the decision, and if the government's move to boost the Value Added Tax from 19% to 24% would be enough for the IMF.

Two weeks earlier, Ms. Atkinson had responded to Inner City Press' question about the Constitutional Court in this way, as transcribed by the IMF itself:

“I have a question online, which is a bunch of questions, but on Romania: 'The government’s measures are being challenged in the Constitutional Court. What does the IMF think of the suit? What impact might it have on the IMF facility for Romania?' And it’s absolutely right that the fiscal adjustment measures, which are prior actions for our program, have to be approved by the Constitutional Court, and of course we respect that process. That’s an entirely appropriate process. We don’t think that that will lead to any -- I mean, that’s not something that we’re concerned about.”

And so on July 1 Inner City Press asked, “the Constitutional Court has now rejected the pension cuts connected to the IMF facility. What is the IMF's reaction, since two weeks ago it was said that the IMF did not expect this result?”

Ms. Atkinson said, “I'm not sure about that.” But she'd said of the Court review, “That's not something that we're concerned about,” a lack of concern that can be equated with not expecting a negative court decision.

Now on July 1, Ms. Atkinson said “the Romanian authorities have identified other measures... What we look at is an overall package, not specifying one measure or another.” She noted that the IMF Board will consider Romania on July 2. Watch this site.

And see, innercitypress.com/imf4romania070110.html

As Romania's Wage Cuts Challenged in Court, IMF Says Not Concerned, Lead Nowhere

By Matthew Russell Lee
www.innercitypress.com/imf3romania061710.html

UNITED NATIONS, June 17 -- A day after Romania's opposition filed a challenge to the government's cutbacks of public sector wages by 25%, International Monetary Fund spokesperson Caroline Atkinson said, we don't think it will lead to anything, it's not something we're concerned about. Video here, from Minute 30:04.

Inner City Press had asked, "What does the IMF think of the suit and what impact might it have on the IMF's facility for Romania?" Ms. Atkinson said this was "absolutely right, the fiscal adjustment measures which are prior actions for our program, have to be approved by the Constitutional Court."

This makes it sound like review by the Court is routine -- or "entirely appropriate," as Ms. Atkinson put it. But Reuters reported that the "government can start applying the austerity measures ahead of any court judgment, but if declared unconstitutional they would have to be revoked."

If Reuters is correct that the pending challenge in the Constitutional Court could result in the austerity -- or "fiscal adjustment" -- measures being revoked, why does the IMF so blithely predict it will lead to nothing, and say they are not concerned about it?

Ms. Atkinson began by saying, there is a question from Inner City Press online, "a bunch of questions, but on Romania." She then never read out or answered any of the other questions, about Hungary, Poland, Zimbabwe and Kyrgyzstan. There was, however, another question about Kyrgyzstan, the IMF's answer to which we will include in a forthcoming wider piece about the bloodshed there. Stay tuned.

And see, www.innercitypress.com/imf3romania061710.html

Amid Protests, IMF Says Wage Cuts Were Romania's Choice, IMF for Vulnerable

By Matthew Russell Lee
www.innercitypress.com/imf2romania052010.html

UNITED NATIONS, May 20 -- With Romania wracked by the most serious protests since its 1989 revolution, Inner City Press on May 20 asked International Monetary Fund spokesperson Caroline Atkinson if the IMF would consider re-negotiating the 25% pay cut to public sector employees portrayed by the government as a condition for receiving a Greece-like bailout.

On May 6 when Inner City Press asked about Romania, Ms. Atkinson said there were negotiations going on. On May 20, Ms. Atkinson's lengthy answer denied IMF responsibility for the cuts, saying they were choices of the government.

Ms. Atkinson of the IMF said:

"This gives me an opportunity to clarify that the IMF did not specify or insist on any wage cuts with Romania... we did agree with the Romanian government that some further fiscal tightening would be needed in order to put their program back on track .. the goal is to have sustainable public finances that will allow for a recovery and there are of course different combinations of expenditure cuts and tax increases..

"The government chose to focus on the expenditure side in particular on wage cuts. That was the government's decision. Of course there are no easy options when there are budget cuts. We have been clear that we want to protect the most vulnerable and to have measures that limit the impact on society and can get the most ownership within society."

Tell that to the tens of thousands protesting in Romania's streets. Watch this site.

And see, www.innercitypress.com/imf2romania052010.html

IMF Says "No Agreement" With Sri Lanka, Meets in Hungary, Omits Bulgaria, Angola and Hugo Chavez Questions

By Matthew Russell Lee
www.innercitypress.com/imf1hunsri030410.html

UNITED NATIONS, March 4, updated -- The International Monetary Fund's lack of transparency is matched by its claims to be transparent. Take for example the IMF's arrangement with Sri Lanka, where parliament has been suspended and the state of emergency extended.

Two weeks ago, Inner City Press submitted three questions to the IMF's briefing. Spokesman David Hawley did not take any of the questions on camera. Afterwards, and after complains, two of the three questions were answered, but not the one on Sri Lanka: "With an IMF team in Sri Lanka, what is the IMF's thinking on the EU's suspension of the GSP Plus tariff treatment, and/or the arrest of opposition politician Sarath Fonseka?"

On March 4, Inner City Press submitted five questions, some repeatedly. Spokesperson Caroline Atkinson read out her own summary of the question, about the third tranche of the IMF's loan, and then said that the IMF "mission returned from Sri Lanka," we don't have an agreement, we don't expect the third tranche to be released."

Then Ms. Atkinson said, I understand we have more online questions, we'll wait for technology. See transcript below.

But it appears that the delay is not technology related, but rather consists of IMF staff screening and editing the questions that are submitted. Of Inner City Press' four other questions, only one was mentioned by Ms. Aktinson. Inner City Press had submitted, "In Hungary, why did the IMF meet with opposition party Fidesz? What was discussed? Fidesz says the discussions concerned the deficit, and if Fidesz comes to power in the April elections -- is that true?"

Ms. Atkinson read only part of the question, then said that such meetings are "common... an exchange of views." But the opposition party said it had an agreement with the IMF. Shouldn't the IMF respond?

Inner City Press submitted for the IMF's response this quote last week from Hugo Chavez: "When Venezuela used to get financing, the IMF would come here and impose conditions and rules, and sometimes it would even dismantle our laws. But now, with China and Venezuela, we're on equal footing." But they woudn't even acknowledge, much less respond to, the request for a reaction.

Update: after the expiration of the IMF's embargo and the publication of the above, an IMF spokesperson replied, "I have nothing for you on this. However, I can confirm that Venezuela and China are both members of the IMF. "

Two of the submitted questions were either not passed on to Ms. Atkinson, or were omitted by her and she said there are no more questions:

On Angola, is the IMF any closer to assigning a resident representative to Luanda? What progress has Angola made to the transparency discussed by the IMF, particularly in the oil sector?

Bulgarian Finance Minister Simeon Djankov says he's asked the IMF to inform him whether Greek owned banks are "draining funds from their Bulgarian units" - can the IMF confirm the request, if so will it respond in the 3 weeks given, and separately what does it think of this "draining" issue?

This Bulgaria / Greece question, Inner City Press submitted repeatedly. But it was not acknowledged.

Update: after the briefing was over, an IMF spokesman wrote to Inner City Press that "I’ve asked Olga to get back to you on this. Not familiar with this request. We’re checking." Olga would seen to be Olga Stankova, Senior Press Officer. Numerous publicly available article quote Bulgarian officials about their request to the IMF.

Of those few journalists present in person at the IMF's briefing, many of the questions were about Greece: would there be a meeting is DC? No.

There were questions about Iceland and Ukraine, an expression of condolance for Chile, dodging on gold. Mr. Strauss-Kahn will be in Kenya, with Bob Geldoff and Raila Odinga., then on to Zambia. What about Angola? Watch this site.

Update: Later on Thursday, the following on Angola:

Subject: Angola
From: Thomson, Alistair at IMF
To: Inner City Press
Date: Thu, Mar 4, 2010 at 5:15 PM

Matthew, Thanks for your question on Angola. We are in the process of considering possible candidates for the post of resident representative. On your second question, fiscal transparency is a key part of the authorities' economic program agreed with the Fund. A mission is currently in the field to conduct the first review of the stand-by agreement.

We will continue to follow all this. Watch this site.

From the IMF's transcript:

Ms. Atkinson: I have a question online about the IMF's third tranche to Sri Lanka due in March. I believe we have announced that the mission's return from Sri Lanka that we don't have an agreement with them so we don't expect that the third tranche will be released at least until we have an agreement with them.I understand there are more online questions so we have to wait for technology....

I wanted to go to a question that I'd had online about Hungary. He was asking if there was significance in the mission meeting with the opposition party when they were there. I wanted to note that it's common practice that we will meet with — and this has happened before — that we've met with the opposition party, and of course there were no negotiations with people who were not in the government, but an informal exchange of views.

And see, www.innercitypress.com/imf1hunsri030410.html

IMF's Strauss-Kahn Coy on Opposing Sarkozy and Intervening in Greece, IMF and Greek Denials, Yemen Deferrals

By Matthew Russell Lee
www.innercitypress.com/imf1greece020410.html

UNITED NATIONS, February 4, updated -- The managing director of the International Monetary Fund Dominique Strauss-Kahn bragged Thursday to radio station RTL in his native France that he might leave the IMF early -- and perhaps challenge Nicolas Sarkozy for the French presidency -- and that if asked by Greece, the IMF could "intervene" in the country.

Questions about both comments were dodged later on Thursday by the spokesperson for Strauss-Kahn and the IMF, Caroline Atkinson. Strauss-Kahn is quoted that "As it stands... I am planning to see out my mandate. But if you ask me whether in certain circumstances I could reconsider this question, the answer is yes, I could reconsider this question."

This is consciously leaving open the door to reconsider and leave. But Ms. Aktinson emphasized only his "planning to see out my mandate" and called everything else "hypothetical."

On Greece, Strauss-Kahn said regally, "I have a mission on the ground to provide technical advice requested by the Greek government. And if we're asked to intervene, we will." He added, "I understand that the Europeans don't want this for the moment."

Inner City Press on Thursday morning asked Dimitris Droutsas, Alternate Foreign Minister of Greece, to describe his government's thinking about IMF help. Mr. Droutsas responded on the record, "Categorically may I state, any idea of the IMF... there is no idea about that."

Still, at Thursday's IMF biweekly briefing, Ms. Aktinson emphasized the "the IMF" -- not just Strauss-Kahn -- "had a technical team in Athens because the Greeks are very interested in getting any help from us on the technical implementation of the plan."

Later on February 4 Droutsas told Inner City Press, on camera, that he was unaware of any IMF team having been in Athens. Video here, last question. One wag wondered, has the IMF become like the CIA, or Xe / Blackwater, whose presence is alleged and denied?

But the IMF under Strauss-Kahn brags about being present. As with the wider UN, the rush to be relevant.

It was surprising, then, that when Inner City Press asked Ms. Aktinson about Yemen -- using as the lead in a quote by UK Foreign Secretary (Ivan Lewis) that "we address the economic problems that face Yemen, especially through the IMF program" -- Ms. Atkinson said she didn't have information about Yemen and would have to respond later to Inner City Press. But as February 8 hit midnight, still no information was provided. Yemen is in the news, and one would expect the omnipresent Strauss-Kahn to be all over it. We'll see.

Ms. Atkinson gave a pro-IMF spin in responding to Inner City Press' question about the IMF's new loan to Haiti, but we'll be writing about that later, along with the IMF's Yemen response. Watch this site.

And see, www.innercitypress.com/imf1greece020410.html

Amid Reports of War Crimes, IMF Gives More Funds to Sri Lankan Government and Spins on Human Rights

By Matthew Russell Lee
www.innercitypress.com/imfhr1srilanka111909.html

UNITED NATIONS, November 18 -- The International Monetary Fund's seemingly dismissive attitude toward human rights, including labor rights and protections against ethnic cleansing and even torture, has been on display this month. Managing Director Dominique Strauss Kahn defended the IMF's disbursement of funds to the government of Sri Lanka, without any conditions or safeguards, after detailed reports of presumptive war crimes.

When Inner City Press asked IMF spokesperson Caroline Atkinson if, in light of Mr. Strauss Kahn's logic, the IMF ever considers human rights in disbursing funds or not, she laughed and called the question's "premise... a bit misleading." Video here from Minute 9:07.

From the IMF's sanitized transcript:

Inner City Press: Does the Managing Director’s November the 5th statement ‘regardless of one’s opinion of the human rights situation’ mean that the IMF never considers human rights?”

MS. ATKINSON: That’s another question where the premise is a bit misleading. The point that the Managing Director was making in his response to a letter from Human Rights Watch was—and as you know, the text of that letter talks quite directly about the Managing Director’s own feelings about the importance of human rights. And the point of that quote was that he was saying whatever you think about what rights and wrongs of what’s happening in Sri Lanka now, what is true is that an economic collapse would make lives worse for everybody. And, of course, usually the most vulnerable are most hurt by any economic collapse. So it was in that context he was explaining the reasoning behind the Fund’s economic support for Sri Lanka. Thank you all very much and have a good Thanksgiving.

In fact, even the Europe Commission in considering extending or suspending its GSP Plus favorable tariff treatment to Sri Lanka, has taken into account consideration of human rights and war crimes. By contrast, the IMF has argued against any duty to consider human rights. Even Strauss Kahn's letter refers only to "humanitarian" issues, and uses this as an argument in favor of releasing more funds.

Since March, Inner City Press has asked IMF spokespeople what safeguards if any would be attached to the loan. (Despite Inner City Press' demonstrated interest since then, the IMF did not tell it about its conference calls on disbursements to Sri Lanka, neither in July nor this month).

On July 16, the IMF's Caroline Atkinson said that the views of the international community will be taken into account. Four days later her boss Mr. Strauss Kahn issued a press release with no mention of safeguards. Now a letter, and a laugh. We will continue to follow this issue.

And see, www.innercitypress.com/imfhr1srilanka111909.html

IMF Plays Ukraine, Zim and Pakistan As "Technical" Questions, Pushes Tax Hikes in Serbia

By Matthew Russell Lee
www.innercitypress.com/imf1ukzimpak102209.html

UNITED NATIONS, October 22 -- Are the International Monetary Fund's negotiations with countries about the level of taxes and salaries for public sector employees, the pricing of electricity and the privatization of social services political, or merely "economic and technical"? The questions arose Thursday in connection with Ukraine, Zimbabwe and Pakistan, among others, in the IMF's first press briefing since its annual meeting in Turkey.

IMF spokesperson Caroline Atkinson fielded questions for half an hour, leaving unanswered one submitted by Inner City Press about Serbia, where the IMF's Paul Thompson has been quoted that "if the Serbian delegation has a concrete pan for decreasing expenses, we will support it, if not, they will have to agree with us and think about increasing taxes." Left unanswered: how is raising taxes merely "technical"?

Ms. Atkinson did respond to Inner City Press' questions about Ukraine, Zimbabwe and Pakistan. While a full transcript is available online here, and video here, in sum the Q & A went as follows:

Inner City Press asked, In Ukraine, the opposition party is critical of the IMF as funding the campaign of Tymoshenko. What is the IMF's response to the opposition's criticism? Ms. Atkinson replied that IMF funds go to the central bank, and that the IMF has a team on the ground in Kiev for a third review.

The opposition was not, it seems, saying that money from the IMF is being used by Tymoshenko for advertisements or to pay poll workers, but rather "MP and opposition government's finance minister, Mykola Azarov, said this at a meeting with delegates of an IMF mission, 'We must say that the program of cooperation with the IMF has turned out to be ineffective, and nothing is left but to consider the IMF's assistance as politically motivated, as funding of one of the candidates running for the presidency.'"

When another reporter asked a follow up question about Ukraine, wondering if with the IMF mission on the ground, the upcoming election "is an issue," Ms. Atkinson said the IMF does not comment while a mission is in the field, negotiating a program, but that information -- and one hopes some questions and answers -- will be provided once the mission is completed

On Zimbabwe, Inner City Press asked, "NGOs are critical of the IMF for, they say, pushing Zimbabwe to privatize its social services system. Has the IMF pushed for that, and how does it respond to the criticism?" Ms. Aktinson, while saying she can get back to Inner City Press with more information, argued that the IMF does not favor or disfavor particular privatizations, but must be pushing to strengthen the social service sector to help the poor.

But speaking just ahead of civil society's consultative meeting with an IMF team under Article IV of the Fund's Articles of Agreement, NANGO said "'we are opposed to some IMF polices such as privatization of basic social services. We know it from the past that some IMF policies have worked against people in this country. They have affected the social services sector and their polices are anti-people and negative'... [NANGO] said some of the IMF instigated polices which had brought suffering to the people were the Economic Structural Adjustment Programme (ESAP) and Zimbabwe Programme for Economic and Social Transformation (ZIMPREST)." It's a pretty specific critique, and we'll publish the IMF's response upon receipt.

Following up on Inner City Press' questions and article from August 2009, it asked "in Pakistan, the IMF in August extended for a year the country's time to eliminate electricity subsidies. Now, while the IMF says 2 price increases will be implemented, others say this is not possible politically. What is the IMF's thinking on consumer power pricing in Pakistan?"

Ms. Aktinson replied that "as I believe you know, the issue of issue of electric subsidy is typically done by the World Bank and Asian Development Bank," that IMF gets involved due to the budget."we will be having another review of the Pakistan program in early November." We'll be there....

And see, www.innercitypress.com/imf1ukzimpak102209.html

Seeking IMF Loans, Service Cuts in Jamaica, Serbia, Congo Changes China Deal

By Matthew Russell Lee
www.innercitypress.com/imf1jamaicadrc082709.html

UNITED NATIONS, August 27 -- While the IMF states publicly that it no longer engages in conditionality, it is reportedly requesting as a condition for loans significant budget cuts in Jamaica, as well as Serbia, St. Lucia and the Maldives. At the IMF's forthnightly briefing on August 27, Inner City Press asked IMF Spokesperson Caroline Atkinson about "what's seen as the IMF dictating cuts in government spending as a condition for a loan... Please confirm what changes are being requested by the IMF." Video here, from Minute 9:18, IMF's transcript below.

Ms. Atkinson replied that there are "discussion between the IMF and Jamaican authorities" and argued that the "authorities are designing the macro economic program... they are in the lead on." She said "I don't want to go into a discussion of particular issues." Then she ignored Inner City Press' request, in the same question, for answers on the Maldives, and on Serbia at the provincial level.

The requests or "macro economic programs" done which negotiating with the IMF look suspiciously similar, and undercut the argument that each government is really in charge. The governments also try to avoid questions of how they have given in to the IMF. Last week Jamaican Prime Minister Bruce Golding, speaking at the opening of a new financial center for the Scotiabank Group in the Jamaican capital, refused to say "whether the cuts were required by the International Monetary Fund as a condition for borrowing $1.2 billion to stabilize its budget under the multilateral lender's special drawing rights." Is this the new IMF?

Similarly, in a question submitted during the IMF briefing but ignored (or censored), the IMF played a wheeler-dealer role in the Democratic Republic of the Congo and its mining sector. Inner City Press asked, in writing, "did the IMF's suggested changes in the country's mining deal with China result in any offsetting changes in China's commitment to Congolese infrastructure development? Is the IMF involved in or did it consider the DRC's proposed Inga Dam?"

At the IMF's request, the DRC cut its guarantee of income from the mines to China, in connection with which China cut its investment commitment from six to three billion dollars. As one analysis interviewed by Inner City Press put it, DRC will now borrow money from the IMF instead of taking it from China. The analysis describe the IMF as doing European powers' work for them, trying to ween a country away from China. The dam named above will reportedly supply power to southern Europe, from a region where than 30% of the population has electricity. This is the new IMF? Watch this site.

From the IMF's August 27, 2009 transcript:

I have a question online about Jamaica. It's asking, "In Jamaica there are protests about what's seen as the IMF dictating cuts in government spending as a condition for a loan. Please confirm what changes are being requested."

As you know, there are discussions that have been underway with the IMF and the Jamaican authorities. The authorities themselves are designing their macroeconomic program and that is something that they are very much in the lead on. I don't want to go into discussions about particular issues and I think that we've been having good discussions with the authorities. We are impressed by the fact that they are taking measures and considering measures and have committed as it is very important as we've been stressing recently to a program that will be very much their program.

And see, www.innercitypress.com/imf1jamaicadrc082709.html