News »Browse Articles »
Poor countries face `serious` damage from financial crisis
+1
Poor countries face `serious` damage from financial crisis
Countires could face the most serious damage from a prolonged global credit crisis as they have fewer resources to prevent their own banks from collapsing, the World Bank and Internnetary Fund (IMF) warned Sunday.
The IMF and World Bank promised to use their "full range of resources" to help countries that cannot manage the spreading financial crisis on their own. Countries promised to maintain aid pledges to poor countries despite the turmoil in their own backyards.
Some 30 countries face serious budget shortfalls as exports have dropped and money inflow from foreign investors has slowed. The IMF Thursday boosted its own lending facilities for struggling countries.
Developing countries already hit by surging food and fuel prices "risk very serious setbacks to their efforts to improve the lives of their populations from any prolonged tightening of credit or sustained global slowdown," said.
"The poorest and most vulnerable groups risk the most serious - and in some cases permanent - damage."
Members of the Development Committee of the IMF and World Bank urged more contributions to a fund to help offset the food crisis. Pledges of some $1.2 billion have been made to date, including $50 million offered this week by Australia.
The World Bank is launching a new "energy for the poor" fund, as well as two climate funds to deal with other ongoing problems faced by poorer countries.
"The financial crisis adds a crisis to a crisis" for the developing world, said IMF Managing Director Dominique Strauss-Kahn, who noted that the "other crises" will stay around as the financial turmoil eases.
Regards,
Rajesh
Source:
Silicon India
The IMF and World Bank promised to use their "full range of resources" to help countries that cannot manage the spreading financial crisis on their own. Countries promised to maintain aid pledges to poor countries despite the turmoil in their own backyards.
Some 30 countries face serious budget shortfalls as exports have dropped and money inflow from foreign investors has slowed. The IMF Thursday boosted its own lending facilities for struggling countries.
Developing countries already hit by surging food and fuel prices "risk very serious setbacks to their efforts to improve the lives of their populations from any prolonged tightening of credit or sustained global slowdown," said.
"The poorest and most vulnerable groups risk the most serious - and in some cases permanent - damage."
Members of the Development Committee of the IMF and World Bank urged more contributions to a fund to help offset the food crisis. Pledges of some $1.2 billion have been made to date, including $50 million offered this week by Australia.
The World Bank is launching a new "energy for the poor" fund, as well as two climate funds to deal with other ongoing problems faced by poorer countries.
"The financial crisis adds a crisis to a crisis" for the developing world, said IMF Managing Director Dominique Strauss-Kahn, who noted that the "other crises" will stay around as the financial turmoil eases.
Regards,
Rajesh
Source:
Silicon India
Search News
News Categories
What's the News?
Post a link to something interesting from another site, or submit your own original writing for the HR community to read.
Most Popular News
-
25 Things You Should Never Include on a Resume
Published about 09-08-2008 | Rated +29 -
Recruitment process
Published about 31-12-2008 | Rated +27 -
10 things about Technology every HR Manager should know
Published about 09-08-2008 | Rated 0 -
Satyam to axe 4,500
Published about 09-08-2008 | Rated +1
Most Recent User Submitted News
- IT spending to drop to 2.3 percent: Gartner
Submitted by Adarsh.N | Rated +1 - U.S. automobile crisis to hit Indian IT firms
Submitted by Radhika | Rated 0 - Degrees of Giving
Submitted by Arun | Rated +3 - Life, Life, Life <>
Submitted by Arun | Rated +1