Global Empire
World Bank & IMF
The mother of global finance
Ever since their inception, the International Monetary Fund and the World Bank have been accused of being a tool of their major shareholders, and especially the US. Woods (2003) clearly documents that the US virtually controls major decisions at IMF and World Bank; Fratianni and Pattison (2003) summarize evidence showing that the G7 are in full control of the IMF on the big issues and that staff autonomy is restricted to areas which are of marginal interest to its shareholders. In the words of Rieffel (2003: 28-29), "The IMF is an instrument of the G-7 countries."
Dennis Leech said about IMF that It is commonplace however to note that the organisation is in practice dominated by the United States and the advanced industrial nations since their combined voting weight gives them a majority over the developing countries. IMF and World Bank are institutions of the United Nations system. Organizations like the World Bank and IMF are created by the globalist power elite.
The World Bank Group says about itself that it works in every major area of development. We provide a wide array of financial products and technical assistance, and we help countries share and apply innovative knowledge and solutions to the challenges they face. The International Monetary Fund (IMF) says about itself that it provides policy advice and financing to members in economic difficulties and also works with developing nations to help them achieve macroeconomic stability and reduce poverty. That sounds great. The people in control of these organizations really know how to sell themselves to the world. The World Bank and IMF give loans to developing countries for capital programs. To give loans to countries also means to increase debts of those countries and thus to gain control over those countries and the people in them. But would these power elite really want to end extreme inequality and poverty in the world?
Indonesia withdrew from the International Bank for Reconstruction and Development (IBRD) less than two years earlier, but during that time much had transpired in the country. New leadership, led by General Suharto, assumed power in July 1966 and quickly initiated an economic stabilization program, which included rejoining the World Bank, International Monetary Fund (IMF), and United Nations (UN). Immediately upon rejoining the Bank, plans for mission visits by Bank Group officials and the possibility of technical assistance will be discussed.
Éric Toussaint said that It's very clear that from the beginning, the IMF and the World Bank have supported numerous dictatorships all around the world in accordance with the political interests of the United States and its allies. On 30 September 1965, Indonesian General Suharto staged a military coup, supported by Washington, and became known as a war criminal and one of the greatest mass murderers of the 20th century. In July 1966 he joined the World Bank.
Mobutu Sese Seko was the military dictator and President of the Democratic Republic of the Congo from 1965 to 1997. He was an extremely corrupt and ruthless dictator who built Versailles in the jungle. He was labeled one of the world's top criminals. The United States was in business with Mobutu Sese Seko. The IMF was in business with him. Mobutu Sese Seko also spoke at the United Nations.
IMF is in business with President Jakaya Kikwete of Tanzania. Tanzania is known to be extremely corrupt. Rampant corruption in Tanzania keeps fruits of the many in hands of the few. Press restriction taints Kikwete's impressive legacy and corruption rocked Kikwete's government in the past decade. Corrupt leaders like Jakaya Kikwete also get to speak at other globalist organizations like for example the World Economic Forum which are run by the richest people on earth.
IMF made deals with Goodluck Jonathan when he was President of Nigeria. Goodluck Jonathan is an ineffectual buffoon who let politicians and their cronies fill their pockets with impunity. Nigeria is known for its extreme poverty and corruption. And also a corrupt leader like Goodluck Jonathan gets to speak at for example the World Economic Forum. These are the platforms of the western power elite and it is obvious that they are in business with these top criminals.
Michael Hudson's in-depth and highly controversial study of U.S. financial diplomacy explores the faults built into the core of the World Bank and the IMF at their inception which -- he argues -- were intended to preserve the US's financial hegemony. Difficult to detect at the time, these problems have since become explicit as the failure of the international economic system has become apparent; the IMF and World Bank were set up to give aid to developing countries, but instead many of the world's poorest countries have been plunged into insurmountable debt crises.
James S. Henry wrote: From 1970 to 2003, over three trillion dollars — $3,000,000,000,000 — were loaned to developing countries by the West. Yet the gap between rich and poor is worse than ever. What happened? Where did all that money go? Extreme inequality is worse than ever. Much of the money sent by the World Bank and IMF went to for example corrupt dictators like the ones mentioned above. The International Bank for Reconstruction and Development has articles in its statement which reveal the intentions of such organizations. According to the IBRD Articles of Agreement the purpose of the bank is to promote private foreign investment by means of guarantees or participations in loans and other investments made by private investors and to promote the long-range balanced growth of international trade and to conduct its operations with due regard to the effect of international investment on business conditions in the territories of members. The purpose of these organizations is to open the markets of poor countries to western multinational corporations. While doing so they force the national leaders to implement strict regulations which usually involve austerity and restrictions on investments in for example health care and education. Much of the money sent to such corrupt leaders ends up in tax havens around the world controlled by the same power elite who installed these "philanthropic" organizations.
BRICS is an association of five major emerging national economies: Brazil, Russia, India, China and South Africa. All five are permanent members of the G20. They became more significant on the world stage which used to be mainly dominated by the G7 run by the United States, Great Britain, Canada, France, Germany, Italy and Japan. The success of BRICS may aid in reducing the influence of the United States and other Western institutions among many parts of the world. The rise of China threatens dollar dominance with potentially profound ramifications for America's strategic position in the world. See also new Cold War.
In July 2014 the BRICS leaders called for an international financial architecture that is more conducive to overcoming development challenges. BRICS is a step closer to a new global financial order under the power elite who are already in control of the World Bank and IMF. Russia's Vladimir Putin speaking to his BRICS colleagues said that it is important that we are united by a desire to act from unified positions in all issues of global development and the formation of the global financial and economic architecture.
The BRICs are pursuing a four-pronged approach: decisive regulation of global financial markets; an orderly move away from the existing global monetary system based solely on the dollar; reorganization of the IMF, including a more important role for Special Drawing Rights as a transitional instrument in international reserve facilities; and the longer-term creation of a new multipolar monetary system based on a basket of currencies.
The power elite of the BRICS countries want to have a larger piece of the international financial market. The IMF wants to be the mother of a new financial system which houses the Dollar and any other currency in the world, including that of the BRICS. That is nothing new, for example in 1988 the Economist released an article called 'Get Ready for the Phoenix' which talked about a world currency. In 1998 it released an article called 'One World, One Money'. In 2013 Christine Lagarde addressed the Davos elite at the World Economic Forum saying I would like to take a somewhat broader view—looking to the longer horizon, to the new global economy taking shape before our eyes. IMF maintains so-called special drawing rights (SDR's) which until 2015 contained U.S. dollars, euros, pounds sterling and Japanese yen. But to be a truly global financial power it will have to include all powerful world currencies.
China wanted to be part of the IMF's special drawing rights. That's how China would play a bigger role in the management of the global financial system. At the opening ceremony of BRICS' New Development Bank (NDB) in July 2015 Chinese Finance Minister Lou Jiwei said that the NDB will supplement the existing international financial system in a healthy way and explore innovations in governance models. In August 2015 China knocked on the reserve-currency door of IMF. In September 2016 the Chinese currency Yuan joined the U.S. Dollar, Euro, Yen, and British Pound in the SDR basket of IMF. So the power elite of the BRICS countries have already aligned with IMF and will cooperate in a coming new global financial order. Another major step in the course of globalization leading closer to their desired world government.