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Keep, Reform or Abolish?

  • Imad A. MoosaEmail author
  • Nisreen Moosa
Chapter

Abstract

The Asian financial crisis set the stage for a debate over the role of the IMF, the organisation that promoted neoliberal policies aimed at the liberalisation of the capital account and financial markets in East Asia in the early 1990s. Three alternatives courses of action are discussed and evaluated: keeping the Fund as it is or with cosmetic changes, reforming it by introducing significant changes to policies and governance, and abolishing it. The third course of action is advocated on the grounds that the Fund has inflicted so much pain on developing countries or because the purpose for which it was created is no longer there. It is concluded that, given the damage that has been inflicted on developing countries by following IMF-prescribed policies over many years, the option of maintaining the status quo is a non-starter.

Keywords

Asian financial crisis Meltzer Commission Treasury Department Basel Committee on Banking Supervision Dictatorship Democracy 

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Copyright information

© The Author(s) 2019

Authors and Affiliations

  1. 1.School of EconomicsRMIT School of EconomicsMelbourneAustralia
  2. 2.University of South AustraliaAdelaideAustralia

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