IMF Fears Financial Crisis

Argentina, Ecuador and Somalia Debated Behind Closed Doors

Washington DC - The International Monetary Fund raises fresh global financial crisis fears as Presidents, Finance Ministers, development groups and business leaders gather for the Annual IMF and World Bank Meetings.

"We are seeing strong warnings of a global financial crisis," shared United Nations finance expert and Jubilee USA Director, Eric LeCompte. Since 2010, LeCompte monitored IMF reports and meetings. "The Fund recommends more transparency around risky investments and corporate and country debts. But these recommendations might be too little and too late."

On Tuesday, the IMF downgraded global economic forecasts, calling the future of the economy, "precarious" and "uncertain," with the release of the 2019 World Economic Outlook Report. On Wednesday, the IMF Global Financial Stability Report issued concerns over high debts and risky investing. The reports raised fears over trade tensions, revenue loss and that developing countries are borrowing too much.

Behind closed doors, IMF leadership debates the failed economic plans of Argentina and Ecuador.

"The IMF got Argentina's debt sustainability wrong and they failed to prevent most of their financing being lost to capital flight," said LeCompte. "In Ecuador there seems to be a disconnect between IMF leadership preaching corporate transparency and IMF technicians advancing austerity and corporate tax cuts."

Beyond the debates, consensus seems to be growing for Somalia debt relief.

"We are optimistic about debt relief for Somalia which is one of world's poorest countries," stated LeCompte who is moderating a High-Level Somalia Annual Meeting Panel. "There seems to be strong support among all stakeholders to alleviate poverty and build a brighter future for Somalia."

Read about the World Economic Outlook Report

Read about the IMF Global Financial Stability Report

Read about the Somalia NGO Consortium and Jubilee USA's Friday High-Level IMF/World Bank event with His Excellency Dr. Abdirahman D. Beileh, Minister of Finance for Somalia, on resolving Somalia's debt and economic crisis here

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IMF Warns of Unstable Financial System

Washington DC - The International Monetary Fund warns of growing financial instability as a result of high debts and risky investing in the release of the IMF 2019 Global Financial Stability Report. The report raised fears that developing countries are borrowing too much.

"The Fund is recommending more transparency and greater surveillance of corporate and country debt," shared United Nations debt expert and Jubilee USA Director, Eric LeCompte. "While these recommendations are good, they fall short of the policies we need to prevent the next financial crisis. We need a global bankruptcy process. We need global laws on responsible lending and borrowing."

Yesterday, the IMF downgraded global economic forecasts, calling the future of the economy, "precarious" and "uncertain," with the release of the 2019 World Economic Outlook Report. 

"We all wish the latest reports from the IMF were about sunshine and rainbows. Unfortunately, this is the most bleak economic outlook report that I've seen from the Fund," noted LeCompte who monitored IMF reports since 2010.

Read about the World Economic Outlook Report

Read the IMF Global Financial Stability Report

Read about Jubilee USA's Friday High-Level IMF/World Bank event with His Excellency Dr. Abdirahman D. Beileh, Minister of Finance for Somalia, on resolving Somalia's debt and economic crisis here

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IMF Reports Dismal, "Uncertain" Economic Outlook

Washington DC - The International Monetary Fund downgrades global economic forecasts, calling the future of the economy, "precarious" and "uncertain," with the release of the 2019 World Economic Outlook Report.

"This is the most bleak economic outlook report that I've seen from the Fund," noted Jubilee USA Director Eric LeCompte who monitored IMF reports since 2010. "World leaders should be very concerned."

As a result of global economic risks, rising debt levels and trade tensions, the IMF's flagship report down graded economic growth projections to 3 percent. The report also cited growing disparity in wealthy and "advanced" economies and regions.

"Inequality is on the rise even in some of the richest societies," stated LeCompte who serves on United Nations finance expert groups. "The same disparity we see between developed and developing economies, is also on the rise at regional levels and within wealthy countries themselves."

Read the IMF World Economic Outlook Report

Read about Jubilee USA's Panel Are We Sitting on a New Debt Time Bomb? Tackling the Debt Emergency

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Are We Sitting on a New Debt Time Bomb?

Are We Sitting on a New Debt Time Bomb?

Tackling the Debt Emergency

Sponsored by Eurodad, Latindadd, Afrodad, Jubilee USA Network, Jubilee Germany, Norwegian Church Aid, Debt Justice Norway

WHAT: IMF/World Bank Annual Meetings panel on rising debt levels.

This session discusses how a new debt emergency is here. Ever more countries worldwide are being forced to jeopardize human rights, development and climate goals to service rising debt costs. Are current approaches to sovereign debt resolution adequate? What does a bold reform agenda look like, and how can it gain political momentum?

WHO:  Fanwell Bokosi, Executive Director, AFRODAD; Mark Flanagan, International Monetary Fund Debt Division; Eric LeCompte, Executive Director, Jubilee Network, USA; Patricia Miranda, Coordinator of Finance for Development, Latindadd; Myriam Vander Stichelle, Senior Researcher, SOMO

WHEN: 9: 00 AM – 10:30 AM EST Wednesday, October 16 

WHEREIMF Headquarters 2 - 038 838B

To RSVP, please contact Kate Zeller at kate@jubileeusa.org or (202) 783-3566 x105

Only registered participants in the 2019 IMF/World Bank Annual Meetings can access this event

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Liberia and Somalia: Microcosms into Debt Relief, Climate Crises and Resilience Intersectionality

Liberia and Somalia: Microcosms into Debt Relief, Climate Crises and Resilience Intersectionality

IMF/World Bank Annual Meetings

Friday, October 18
1: 30 PM – 3:00 PM EST

Building I Room 2-210

Moderator: 
Eric LeCompte,
Jubilee USA Network

Panelists:
 H.E. Dr. Abdirahman D. Beileh
, Minister of Finance, Federal Republic of Somalia
H.E Amara Konneh, Former Minister of Planning and Economic Affairs, Liberia,
H.E Ali Sharif Ahmed, Ambassador of Somalia to the U.S,
Ms. Allison Holland, Country Director, IMF in Somalia,
Dr. Zachary Carmichael, Task Team Leader for the Famine Action Mechanism (FAM), World Bank,
Simon Nyabwengi, National Director, World Vision International - Somalia Programme,
Fouzia Abdi, Program Director - Gargaar Relief Development Organization,
Nasra Ismail, Director of Somali NGO Consortium, Executive Director, Somalia NGO Consortium

Sponsored by Jubilee USA Network and the Somalia NGO Consortium

H.E. Dr. Abdirahman D. Beileh, Minister of Finance, will highlight the impact of Somalia’s debt in social-economic recovery as one of the panelist. H.E Amara Konneh, Former Minister of Planning
and Economic Affairs, Liberia will share their experiences in achieving debt relief and what difference it has made to Liberia’s recovery.

To RSVP, please contact Kate Zeller at kate@jubileeusa.org or (202) 783-3566 x105

Only registered participants in the 2019 IMF/World Bank Annual Meetings can access this event

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Time Focuses on Eric LeCompte's Thoughts on IMF Director Georgieva

Time cites Eric LeCompte on the new IMF Managing Director, Kristalina Georgieva's appointment. Read an excerpt below, and click here for the full story.

Eric LeCompte, executive director of the religious development group Jubilee USA Network, said he expected Georgieva will focus on general inequality, environmental issues and the need for more resources to be directed to developing nations, issues she championed at the World Bank.
Read more here
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Associated Press Cites Eric LeCompte on New IMF Director

The Associated Press quotes Eric LeCompte on Kristalina Georgieva's appointment as IMF Managing Director. Read an excerpt below, and click here for the full story.

Economist who grew up in communist Bulgaria is new IMF chief

Eric LeCompte, executive director of the religious development group Jubilee USA Network, said he expected Georgieva will focus on general inequality, environmental issues and the need for more resources to be directed to developing nations, issues she championed at the World Bank.
Read more here

 

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Eric LeCompte's Thoughts on New IMF Director in AFP

The Agence France-Presse cites Eric LeCompte thoughts on Kristalina Georgieva's new role as IMF head. Read an excerpt below, and click here for the full story.

Kristalina Georgieva named IMF managing director

Jubilee USA, a faith-based debt-relief organization, hailed Georgieva's selection.

"Under Georgieva's leadership, we will see emphasis on gender inequality, environmental issues and the need for more resources to be directed to the developing world," Eric LeCompte, Jubilee USA's executive director, said in a statement.

Read more here

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Jubilee USA Featured in the Guardian

The Guardian mentions the Jubilee movement in an article on Kristalina Georgieva's selection as new IMF Managing Director. Read an excerpt below, and click here for the full story.

Georgieva’s brave new agenda at IMF threatened by economic storm clouds

If the IMF is to tackle inequality, Georgieva will need to turn the steering wheel almost as hard as she must on the environment. For some time the IMF has come under fire for only helping countries hit by natural disasters with loans they can ill-afford to pay back. The charity Jubilee Debt 2000, which campaigns against austerity and in favour of debt forgiveness for poor countries, says Georgieva should review IMF support for countries devastated by typhoons, tsunami’s and earthquakes.
Read more here
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Brietbart Quotes Eric LeCompte on New IMF Chief

Brietbart cites Eric LeCompte on Kristalina Georgieva's appointment as IMF chief. Read an excerpt below, and click here for the full story.

Kristalina Georgieva named IMF managing director

Jubilee USA, a faith-based debt-relief organization, hailed Georgieva’s selection.

“Under Georgieva’s leadership, we will see emphasis on gender inequality, environmental issues and the need for more resources to be directed to the developing world,” Eric LeCompte, Jubilee USA’s executive director, said in a statement.

Read more here

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