Failure of IMF and World Bank Policies in Sub-Saharan Africa

4503 Words10 Pages
bulb-icon

Recommended: The effect of colonization in African countries

Failure of IMF and World Bank Policies in Sub-Saharan Africa

Over the last several hundred years, Africa has been deprived of the peace that it so desperately needs. For over 400 years, Africa was subjected to the harsh trans-Atlantic slave trade. Europeans and Americans brutally uprooted millions of Africans and shipped them away. Torn away from their homes, Africans were inhumanely exploited for their labor. The slave trade had a devastating effect not only on those involved, but also on future generations to come. The exploitation of Africans continued even after slavery was abolished. A new form of slavery disguised as colonialism quickly took form as an institutionalized method of exploiting Africans. European countries quickly staked their claims to different parts of Africa. Over the course of about 90 years, Africa was subjected to colonial torture in the form of exploitation of natural resources, forced labor, terrorism, expropriation, unfair taxation, and genocide. After the end of colonialism, European nations and the U.S. developed a new method of exploiting Africa. The same countries that were victims to colonialism are now victims to debt. Commonly referred to as the ?debt trap? in the international community, the debt crisis in Africa is quickly becoming a major hindrance to the economic development of the region. The external debt in Sub-Saharan Africa is estimated to be around $230 billion. The World Bank categorizes 33 of the region?s 44 countries as heavily indebted poor countries. The IMF and World Bank have both stepped in to offer their assistance in the form of offering policy advice, structural adjustment programs, and financial assistance. However, initiatives formulated and ...

... middle of paper ...

...ww.rastafaritoday.com/sitefiles/speacknow02.html

Colgan, Ann-Louise. Africa?s Debt-Africa Action Position Paper. July 2001.

http://www.africaaction.org/action/debtpos.htm

Colgan, Ann-Louise. Hazardous to Health: The World Bank and IMF in Africa-Africa

Action Position Paper. April 2002. http://www.africaaction.org/action/sap0204.htm

Kousari, Kamran. Deep-rooted commodity trap lies behind Africa?s poverty. March 15,

2004. http://www.guardian.co.uk/globalisation/story/0,7369,1169341,00.html

Naiman, Robert and Watkins, Neil. A Survey of the Impacts of IMF Structural

Adjustment in Africa: Growth, Social Spending, and Debt Relief. April 1999.

http://www.cepr.net/IMFinAfrica.htm

Shah, Anup. The US and Foreign Aid Assistance. April 26, 2004.

http://www.globalissues.org/TradeRelated/Debt/USAid.asp

www.imf.org

www.worldbank.org

Show More
Related

  • The Creation of the Chevy Camaro

    432 Words  | 1 Pages

    The designers did mock-ups of many different models, including a two-seat roadster, a fastback, and a station wagon. GM was trying to keep the cost as low as possible, however, to compete with the Mustang, and decided tostick with just two models, a coupe and a convertible.

    Read More

  • The Author’s Thesis in “Race Against Time” by Stephen Lewis

    825 Words  | 2 Pages

    The impact of the Structural Adjustment Programs imposed by International Financial Intuitions (IFIs) such as the World Bank and the International Monetary Fund on the developing countries of Africa has led to the destruction of Africa’s social sectors and has handicapped Africa in its fight with poverty, the AIDS pandemic, and keeping children in school.

    Read More

  • European Imperialism In Africa In The 20th Century

    726 Words  | 2 Pages

    With Europe in control, “the policies of the governing powers redirected all African trade to the international export market. Thus today, there is little in the way of inter-African trade, and the pattern of economic dependence continues.” Europeans exported most of the resources in Africa cheaply and sold them costly, which benefited them, but many Africans worked overtime and were not treated with care.

    Read More

  • Theme Of Race And Resistance African Americans In The 21st Century Sparknotes

    870 Words  | 2 Pages

    Additionally, the leaders of America hold the view that Africa does not qualify for America’s national strategic interests. Consequently, the aspect of the debt repayment problem in most African countries confirms the schemes of the US in Africa. Herbert says, “…these are mostly illegitimate foreign debts, contracted during the Cold War by unrepresentative governments from Western creditors that sought to buy geopolitical loyalties, not to finance development in countries previously set back by Western colonialism…” (Herbert 63). The concern of prejudice across Blacks is real.

    Read More

  • Analysis Of Tom Burgis's 'The Looting Machine'

    1562 Words  | 4 Pages

    It is thought-provoking, in the sense that Africa’s need for foreign created a race to the bottom, much like what Pietra Rivoli described in The Travels of a T-Shirt in the Global Economy. Due to some African states’ reliance on foreign aid in order to mine and profit on their resources, they allow business standards to be lowered and for Chinese firms to tip the contracts moresoever in the favor of Chinese firms. This lowers the potential earnings of African states by lowering royalty rates, for example. Additionally, Burgis’ research was thorough and transparent. When he did not receive a response or if his questions were dodged, he made it obvious to the readers. Sure, some could view this book as too anecdotal to be used as a credible source of Africa’s situation. However, this is due to the nature of the system Burgis is writing about; after all, they are shadow states for a reason. Some readers will be saddened by this text, others angry, most curious to learn more, but above all, everyone will be intellectually stimulated and

    Read More

  • Impact of Foreign Aid on African Democracy and Economy

    932 Words  | 2 Pages

    Every year, more and more money is donated to Africa to promote democracy in order to get rid of the powerful coups in many countries through out the continent. While the coups are declining and democratic governments are being established, the economic growth and development of Africa is not anywhere it should be considering the abundant natural resources and coastline that the continent possesses. Even though countries, like the United States of America, donate millions of dollars they are a large reason why Africa is underdeveloped economically. The Trans-Atlantic Slave trade is the most devastating event in the history of the world. Nearly 14,000,000 men, women, and children were displaced, sold into slavery, and killed by the trade routes.(

    Read More

  • General Phych

    364 Words  | 1 Pages

    The behavioristic approach to psychology relies on the premise of behavior as a reflection of the mind, though influenced by outside forces. Such forces exert influence upon free will, affecting a change in behavior, through association (relationships of ideas) or reinforcement (support of ideas).

    Read More

  • Hitler: The Rise Of The Life Of Adolf Hitler

    669 Words  | 2 Pages

    Hitler was originally born in Austria, although felt great pride for the German people and decided to join the German military during World War I. During the war, hitler was hit with mustard gas and was temporarily blinded. During this time Hitler heard of Germany's surrender through radio, eventually regaining his full sight back. Germany was the world's scapegoat after the war and was burdened with paying for all of the damages and became a laughing stock. Hitler swore to bring Germany from the ashes by planning a rebelion. As good as this looked on paper, it failed, and earned Hitler five years in prizen. While incarcerated, Hitler clearly voiced his oppinions for Germany in his book he wrote in prizen entitled Mein Kompf. The book became a smashing success and rewarded him with fame and a reduced sentence of only a few months.

    Read More

  • Uncivilization In Africa Essay

    1379 Words  | 3 Pages

    Before the British arrived in Africa, they had sustainable economic, social, and political systems. These existing systems were destroyed the European’s quest to use Africa’s wealth for their own economic gains (Alcott). Prior to colonization many African states relied on agriculture to meet the level of subsistence, and selling or trading excess crops. The British did not recognize this type of economic system as a sufficient alternative method. They did not respect the African’s cultural differences and lifestyles; instead, they saw the lack of technology and modernization as merely unacceptable. They began to implant their own economic methods on the African’s without accounting for or respecting other lifestyles and methods of building a society. Instead of respecting ethnic differences across the continent, the British began to exploit them for their own

    Read More

  • The Impact of the Transatlantic Slave Trade on Ghana: A Violent Legacy

    2407 Words  | 5 Pages

    In this paper I ask, how did slavery begin in Ghana? What impact did it have on Ghana? How badly is Ghana underdeveloped due to this enslavement that took place? Lovejoy, Northrup, and Rodney argue that the transatlantic slave trade did in fact contribute to the underdevelopment of Africa. I support their arguments and believe the trade didn’t exactly “destroy” Ghana, but it did affect it by not letting the country improve faster, although eventually Ghana was able to depart from that “underdeveloped” category.

    Read More

  • The IMF’s Role in Financial Crisis

    2219 Words  | 5 Pages

    IMF Surveillance. (2013) IMF Surveillance [online]. International Monetary Fund. Available from: http://www.imf.org/external/np/exr/facts/surv.htm [Accessed 10 November 2013].

    Read More

  • How Europe Underdeveloped Africa by Walter Rodney

    1758 Words  | 4 Pages

    How Europe Underdeveloped Africa by Walter Rodney, was one of the most controversial books in the world at the time of its release. The book seeks to argue that European exploitation and involvement in Africa throughout history. This is the cause of current African underdevelopment, and the true path to the development is for Africa to completely sever her ties with the international capitalist economy. Rodney describes his goal in writing the book in the preface: “this book derives from a concern with the contemporary African situation. It delves into the past only because otherwise it would be impossible to understand how the present came into being and what the trends are for the near future” (vii). Rodney writes from a distinctly Marxist perspective by arguing that the inequalities inherent in European capitalism and required exploitation of certain countries in order to sustain capitalism.

    Read More

  • The Impacts of the IMF and the World Bank

    933 Words  | 2 Pages

    The IMF was not designed to be an aid agency but its role in economic

    Read More

  • John B. Skinner's Theory Of Behaviorism

    713 Words  | 2 Pages

    According to the Dictionary of Psychology, Behaviorism is a theory of learning that is based upon the idea that all behaviors are obtained from their outside observations and not in one’s thoughts or feelings. In the 20th century, three important scientists John B. Watson, Ivan Pavlov and B.F. Skinner proved that Behaviorism is the study of observable behavior, as opposed to internal such as emotions and thinking. Although they all have their different forms of behaviorism, there ideas are similar. Behaviorism is the study of human behavior and is mainly based on the belief that all human behavior is learned through conditioning of the environment.

    Read More

  • Colonialism In Africa Essay

    989 Words  | 2 Pages

    There is no doubt that European colonialism has left a grave impact on Africa. Many of Africa’s current and recent issues can trace their roots back to the poor decisions made during the European colonial era. Some good has resulted however, like modern medicine, education, and infrastructure. Africa’s history and culture have also been transformed. It will take many years for the scars left by colonization to fade, but some things may never truly disappear. The fate of the continent may be unclear, but its past provides us with information on why the present is the way it is.

    Read More

More about Failure of IMF and World Bank Policies in Sub-Saharan Africa

Open Document