ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles by Prabirjit SarkarSubscribe to Prabirjit Sarkar

IMF World Bank Stabilisation Programmes-A Critical Assessment

IMF/World Bank Stabilisation Programmes A Critical Assessment Prabirjit Sarkar Arguing that the IMF/World Bank stabilisation programmes ensure neither adjustment nor growth in the debtor countries who are compelled to abide by these programmes in the face of their payments crises and loss of international creditworthiness, this paper calls for a fundamental rethinking in the approach of the IMF and the World Bank in their dealings with debtor countries. After almost half a century since the Brett on Woods Conference, another conference should now be organised to find the right path to structural adjustments. It should be recognised that deficit and surplus in the balance of payments are two sides of the same coin: structural deficits in the debtor countries reflect the structural surpluses in the creditor countries.

Debt Pressures and Transfer Burden of LDCs

RECENTLY, the old debate concerning the transfer burden of debt has been revived in the perspective of huge debt pressures on less developed countries (LDCs). It originated after the first world war when Germany was directed to pay a huge amount as reparations. At that time. Keynes [1929] argued that such a unilateral transfer could give rise to a double burden on the transferring country: the mobilisation and transfer of funds (budget burden) and a deterioration in the terms of trade in order to effect the corresponding real transfer


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