It’s nice to know that the International Monetary Fund is keeping an eye on the little guys of the world. We had to laugh though, when we read that the IMF withdrew funding due to Ukraine’s failure to ‘rein in social spending’. (Like the US would ever spend unwisely, right?) The IMF is based here–in the United States, and it is closely linked to the G20. Also, the IMF is now issuing SDRs (Special Drawing Rights) that serve as a basis for a new global currency. — PID
By Ewa Krukowska Nov. 17, 2009 (Bloomberg) — Ukraine’s cooperation with the International Monetary Fund is “absolutely necessary” and the country hopes to obtain the next round of funds as early as next month, Foreign Minister Petro Poroshenko said.
The former Soviet state is dependent on a $16.4 billion IMF loan to avoid bankruptcy amid a recession and to maintain payments for the transit of Russian natural gas to Europe. The Washington-based IMF earlier this month decided to delay disbursement of the next $3.4 billion portion of the loan after Ukrainian lawmakers failed to rein in social spending.