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Thousands demonstrate against IMF policies in poor countries
Washington, Apr 25: Thousands of demonstrators banged pots and pans and blew whistles in protest of World Bank and IMF policies in poor countries.
Washington, Apr 25: Thousands of demonstrators banged pots and pans and blew whistles in protest of World Bank and IMF policies in poor countries.
Demonstrators carried "people over profits" and "debt relief now" signs to underscore their message to international lenders holding their spring meetings.
Finance ministers from the Group of Seven industrialized nations are also gathering in the U.S. capital on the sidelines of the semi-annual World Bank and IMF meetings.
Police barricaded several blocks of downtown Washington to control access to the lenders' headquarters and meeting sites.
The boisterous rally modelled after "cacerolazo" pot-banging protests common in South America led protesters to a park across the street from the World Bank and International Monetary Fund headquarters in downtown Washington.
"They have tons of money. We're talking about the wealthiest countries in the world who won't forgive loans and debt to the poorest countries in the world. That's an absolute outrage and we have to stop it," David Levy of the Mobilization for Global Justice said.
Mobilization for Global Justice, an umbrella group of activists behind Saturday's (April 24, 2004) protest, estimated between 3,000 and 3,500 people participated in the demonstration, though reporters on the scene estimated the crowd at closer to 1,000. Mobilization for Global Justice calls for the outright cancellation of all poor country debt using the bank and fund's own resources.
There is an abortion rights demonstration planned for Sunday (April 25, 2004) in Washington. Both pro-life and pro-choice signs were visible among the anti-IMF and World Bank crowd.
Many critics of the IMF and World Bank argue the lenders restrict the policy choices of countries who accept their loans. An array of groups including Oxfam, ActionAid and Friends of the Earth are taking part in dialogue sessions on debt relief, water privatization and poverty reduction.
Metal barricades restricted access to several blocks of downtown Washington around the lenders' headquarters and meeting sites. Several hundred officers patrolled the streets.
Past anti-globalization protests in Washington and other cities have attracted tens of thousands of people, and led to clashes between police over threats to "shut down" financial leaders' meetings.
As finance ministers and central bankers from the Group of Seven industrial nations gathered for talks on Saturday (April 24, 2004) ranging from curbing terror finances to the price of oil, the tone was markedly different from their last session in Florida 2-1/2 months ago.
This time, the focus of formal talks that end at mid-day on Saturday (April 24, 2004) was not on currencies. Participants were at pains to stress in advance they saw no need to change the wording from their statement of February, in which they said "excess volatility" was not wanted.
U.S. Treasury Secretary John Snow said he expected the G7 to repeat February's warning against volatility.
"The outlook for the U.S. economy is very positive. We talked about other G7 countries as well. I was able to commend our Japanese colleagues on the good performance in Japan which is showing strong signs of growth and sustainable growth. Similarly in Europe, there are indications of improvement but with the understanding that further action is called for to remove impediments to growth in other Euro-zone economies focusing on greater labour market flexibility, focusing on lower marginal tax rates, reform of pension systems all of which are part of the agenda for growth," Snow said.
But the IMF's rosy forecast came with admonitions that big budget deficits in key economies like the United States as well as rising oil prices posed risks, layered on top of likely U.S. interest rate hikes later this year that could brake the pace of expansion.
The Boca statement also renewed a call for more flexible exchange rates in major economies, code for urging China and other Asian countries to stop pegging their currencies to the dollar to help offset big U.S. trade deficits with the region.
Meetings in recent weeks between G7 governments and Chinese officials are solidifying a conviction that Beijing will move in the next year to ease its dollar peg, which would likely send the yuan higher and help cool the torrid economy there.
China's boom is starting to worry Western policy-makers as persistent growth rates of some 9 percent are exaggerating demand for oil and other commodities, and exporting inflation pulses around the world.
Earlier in the week, U.S. Treasury Under-secretary John Taylor said the risk of "overheating" from spiralling prices in the Chinese economy was likely to occupy G7 participants' attention.
While the IMF's latest assessment of the global economy warns there remains a risk the dollar could fall sharply as a result of a huge gap in the U.S. current account -- the broadest measure of trade -- policy-makers seem sanguine.
Other familiar topics will resurface -- insulating economies against terror attacks, the underperforming euro zone, the need for more structural reforms in economies around the world and the need to keep world trade talks afloat.
Officials believe that the reduced pressure for any new collective policy statement or action should make for a more relaxed meeting.
Bureau Report
The boisterous rally modelled after "cacerolazo" pot-banging protests common in South America led protesters to a park across the street from the World Bank and International Monetary Fund headquarters in downtown Washington.
"They have tons of money. We're talking about the wealthiest countries in the world who won't forgive loans and debt to the poorest countries in the world. That's an absolute outrage and we have to stop it," David Levy of the Mobilization for Global Justice said.
Mobilization for Global Justice, an umbrella group of activists behind Saturday's (April 24, 2004) protest, estimated between 3,000 and 3,500 people participated in the demonstration, though reporters on the scene estimated the crowd at closer to 1,000. Mobilization for Global Justice calls for the outright cancellation of all poor country debt using the bank and fund's own resources.
There is an abortion rights demonstration planned for Sunday (April 25, 2004) in Washington. Both pro-life and pro-choice signs were visible among the anti-IMF and World Bank crowd.
Many critics of the IMF and World Bank argue the lenders restrict the policy choices of countries who accept their loans. An array of groups including Oxfam, ActionAid and Friends of the Earth are taking part in dialogue sessions on debt relief, water privatization and poverty reduction.
Metal barricades restricted access to several blocks of downtown Washington around the lenders' headquarters and meeting sites. Several hundred officers patrolled the streets.
Past anti-globalization protests in Washington and other cities have attracted tens of thousands of people, and led to clashes between police over threats to "shut down" financial leaders' meetings.
As finance ministers and central bankers from the Group of Seven industrial nations gathered for talks on Saturday (April 24, 2004) ranging from curbing terror finances to the price of oil, the tone was markedly different from their last session in Florida 2-1/2 months ago.
This time, the focus of formal talks that end at mid-day on Saturday (April 24, 2004) was not on currencies. Participants were at pains to stress in advance they saw no need to change the wording from their statement of February, in which they said "excess volatility" was not wanted.
U.S. Treasury Secretary John Snow said he expected the G7 to repeat February's warning against volatility.
"The outlook for the U.S. economy is very positive. We talked about other G7 countries as well. I was able to commend our Japanese colleagues on the good performance in Japan which is showing strong signs of growth and sustainable growth. Similarly in Europe, there are indications of improvement but with the understanding that further action is called for to remove impediments to growth in other Euro-zone economies focusing on greater labour market flexibility, focusing on lower marginal tax rates, reform of pension systems all of which are part of the agenda for growth," Snow said.
But the IMF's rosy forecast came with admonitions that big budget deficits in key economies like the United States as well as rising oil prices posed risks, layered on top of likely U.S. interest rate hikes later this year that could brake the pace of expansion.
The Boca statement also renewed a call for more flexible exchange rates in major economies, code for urging China and other Asian countries to stop pegging their currencies to the dollar to help offset big U.S. trade deficits with the region.
Meetings in recent weeks between G7 governments and Chinese officials are solidifying a conviction that Beijing will move in the next year to ease its dollar peg, which would likely send the yuan higher and help cool the torrid economy there.
China's boom is starting to worry Western policy-makers as persistent growth rates of some 9 percent are exaggerating demand for oil and other commodities, and exporting inflation pulses around the world.
Earlier in the week, U.S. Treasury Under-secretary John Taylor said the risk of "overheating" from spiralling prices in the Chinese economy was likely to occupy G7 participants' attention.
While the IMF's latest assessment of the global economy warns there remains a risk the dollar could fall sharply as a result of a huge gap in the U.S. current account -- the broadest measure of trade -- policy-makers seem sanguine.
Other familiar topics will resurface -- insulating economies against terror attacks, the underperforming euro zone, the need for more structural reforms in economies around the world and the need to keep world trade talks afloat.
Officials believe that the reduced pressure for any new collective policy statement or action should make for a more relaxed meeting.
Bureau Report