If done effectively, the reallocation could help African countries deal with COVID-19, climate change and their many other economic and social challenges.
Zambia’s new president will have to balance austerity and the high expectations of the many unemployed young people and struggling people who voted for him.
The IMF’s injection of US$650 billion worth of Special Drawing Rights into the global economy opens a window for African countries to reform their relationship with the fund.
Eurobonds are costly for governments. But they are also attractive because investors buy them without preconditions.
IMF programmes run the risk of having too many conditions. This may drive countries into financial disaster. And back to the IMF again.
It has consequences for everything from voting rights at the IMF to international borrowing costs.
Hosted by Russia, the summit gave the BRICS group a chance to harmonise their approach before the G20 meeting in Riyadh.
South Africa’s National Treasury now proposes to reduce salaries. On the face of it this seems sensible. But the fundamental issue is the structure of the public service.
The IMF wants government intervention on climate change. It’s now abundantly clear Australia’s climate policies are at odds with even the most conservative approach to economic management.
Zimbabwe wants to issue a sovereign bond to raise $3.5 billion it has agreed to pay as compensation to white farmers, but the economic and political conditions aren’t conducive to such an issuance.
African countries should tread carefully over the debt relief offered by multilateral institutions and other lenders. It could prove very costly in the medium to long term.
The deal that South Africa will get from the International Monetary Fund will in part depend on how well South Africa’s representatives negotiate.
A blanket solution to Africa’s debt burden risks costing African countries dearly in terms of access to international capital markets and the relatively lower cost of borrowing.
Africa is facing a profound crisis that could set its development back a generation. It needs a solution to its debt problems that doesn’t cripple countries.
With government debt soaring following moves to combat the coronavirus pandemic, now is the ideal moment to change how states borrow money.
The IMF is forecasting an Australian downturn that will dwarf every one since the Great Depression.
The current lockdown in Zimbabwe is going to provide a stern test for its informal economy, which is the country’s dominant economy and employs 90% of people.
The IMF/World Bank spring meetings offer Africa an opportunity to put on the table what it needs to mitigate the impact of COVID-19.
How many people realise that the central banks’ great programme for reviving the global economy involves hand-picking which companies and sectors to help out?
The Modi boom was built on sand – and now the tide has come in.