(November 09, 2015)
President; Pakistan Businessmen and Intellectuals Forum (PBIF) , All Karachi Industrial Alliance (AKIA) and First Vice Chairman of the Businessmen Panel of FPCCI Mian Zahid Hussain on Monday termed policies of IMF and World Bank as financial terrorism pushing developing countries to bankruptcy to achieve objectives of the west.
Many countries are reeling under pressure despite getting loans to the tunes of billions while some have been bankrupted due to dictatorship in the lending institutions that prefer objectives of US and some European countries over everything, it said.
Loans are advanced to troubled countries which seldom help revive economy but put them under debt burden, said PBIF President and former Provincial Minister Mian Zahid Hussain.
In a statement issued here today, he said IMF is responsible for the miseries of many as it force countries to mass layoffs, deregulation, deep social spending cuts, wage and pension freezes or cuts, unrestricted free market access for western corporations, tax increases for working class, crushing trade unions, ignoring human rights, squeeze middle class, and devalue currency.
He said that on paper all 188 member countries have say in the IMF decision but on ground US and major EU economies call the shots which has increased poverty across the developing world.
Mian Zahid Hussain said that realising increasing frustration China has initiated $ 100 Asian Infrastructure Investment Bank (AIIB) which was signed by 50 countries on the first day including US allies. Recently Taiwan has also joined it which is a shock for the west.
He said that IMF, World Bank and ADB has increased lending to counter AIIB but their own reputation is blocking their moves.
India is the second largest investor in the new bank which can create problems for Pakistan, he said, adding that Asia needs 8 trillion dollars to improve infrastructure in next five years which would be a challenge for all the lenders.
