- New research by the Jubilee Debt Campaign indicates a major breach by the IMF of its own policies, with $93 billion of lending to highly indebted countries, without any debt restructurings
- The campaign group argues this approach is incentivizing reckless lending, as lenders do not need to take risk into account if they know the IMF will enable them to be repaid
The International Monetary Fund (IMF) are spending $93 billion bailing out reckless lenders to 18 countries, in new analysis released by Jubilee Debt Campaign ahead of the IMF Annual Meetings (14-20 October 2019).
According to the debt campaign group, the issuing of loans by the IMF to high debt countries, without any debt restructuring taking place, are effectively bailing out previous lenders, incentivizing them to act recklessly and creating moral hazard. The 18 countries include Argentina, Cameroon, Ecuador, Egypt, Pakistan and Tunisia.