Hazing Ideas For Rugby

commentary act: four financial questions asked in which the actions of the G8

By Martin Khor

first Curb speculation. Long there is again a potential for a new global financial crisis. The activities of the G8 on the regulation of speculative financial flows were inadequate and dangerous new forms of speculation, in the form of hedge funds and financial derivatives are formed. The G8 must act, and to control hedge funds and derivatives and to regulate the movement of "hot money" and speculative funds, The issue should not be deleted from the agenda.

second It should be finite fundamental changes in the Bretton Woods institutions should be initiated. The IMF should withdraw from the economically conditioned lending to developing countries. The balance of the negative effects of its conditionality is devastating. The World Bank should be reformed and only approve loans for projects that meet the criteria of sustainable development. The system of governance of both institutions should be reformed, so that developing countries have given fair and representative voting rights. For the IMF last September granted measures are totally inadequate and in some respects even harmful.

third Expansion and deepening of debt relief. The trend to cancel the debt of certain developing countries should continue. The momentum in this regard must be sustained. Debt relief must be expanded to more countries, including those with extended middle-income. Furthermore, a mechanism for debt restructuring and rescheduling for countries to be created in financial difficulties, which allows them to suspend debt service until a debt restructuring scheme has been worked out.

4th Development assistance should be reformed so that the development needs these countries will meet, as was promised at previous G8 summits, but not implemented. Last year, the volume of aid has actually declined. But aid should as for research and development or for medical research in the fight against such diseases is rising, of which developing countries are particularly affected. Such R & D funds should be reserved for drugs that can not be patented, as the financing comes from yes the public sector. The drugs prices must be controlled so that it is accessible to the poor.

Martin Khor is Director of the Third World Network, Malaysia. His comment is based through a contribution to the Civil G8 Dialogue in advance of the G8 summit in Bonn.