Ravaging the Poor: The International Monetary Fund Indicted by its Own Data

Abstract

Recent International Monetary Fund studies on the impact of its structural adjustment programs on the poorest nations reveal that most have stagnated or declined economically. The IMF's requirement that these countries increase exports despite falling world commodity prices has been a principal cause of their economic malaise. Meanwhile, IMF loan conditions demanding lower government expenditures have led to sharp reductions in general social spending, from which the wealthiest quintile of the population receives a disproportionately larger share of outlays for health and education.