IMF and World Bank are not the solution to Liberia's socio-economic problems

The International Monetary Fund (IMF) and the World Bank can not help Liberia; only good leadership, sound policies and a change of attitude on the part of all Liberians will make Liberia a better place to live, work and do business.

Like the World Bank, the IMF is a respected global institution because of its founding and current members, its sponsors and its physical location. As the IMF monitors the stability of the global monetary system, the World Bank aims to "reduce" poverty by providing support to middle- and low-income countries. Both institutions are based in Washington DC (the center of world power) and were instituted under the Bretton Woods Agreement of 1945 just after the Second World War that lasted from 1939 to 1945. However, these The facts do not suggest that the IMF and the World Bank are flawless or accurate in most of their activities, estimates, projections, statements, publications and impacts.

For example, the IMF recently announced that Liberia should expect a deterioration in the economic situation over the next two years if nothing is done to address these shortcomings. This forecast or projection is not driven by the data. Liberia and a number of African countries do not have any legitimate economic data or any process. The data collected and used in Liberia by most, if not all, international organizations have an absolute margin of error of one hundred per cent since they are not based on any scientific study. So what motivates the IMF's recent findings on Liberia's economy? Perhaps, perceptions of political and social events in Liberia. But again, the IMF can not and must not make economic forecasts based on simple political and social events. So why are the Liberians upset because the IMF made an unfounded, unscientific statement about the country's economy based on a non-data-driven badysis?

Among the deliberate criticisms addressed to the IMF is the fact that, by granting a loan to poor countries, the institution makes the loan conditional on the implementation of certain economic policies. These policies usually involve: a reduction in government borrowing – higher taxes and lower expenses. In fact, the World Bank and the IMF would not admit that their policies can sometimes be an additional puzzle, which is another serious problem.

In addition, the IMF has repeatedly refused to change its priorities and abandon its outdated conditions of privatization, market deregulation and "austerity" in social services which, from opinion of many experts, have caused violations of human rights. loans subject to a new set of conditions.

Time and again, history and practical experience show that the IMF has not only undermined, but also ruined and / or exacerbated the problems of the most troubled economies, particularly those in African countries, by through their ready-made political prescriptions, its model and the World Bank model was mainly put in place at the end of the Second World War to rebuild the European economies. This means that these institutions, the underlying and underlying principles, and political alignments are not intended for Africa, even if globalization forces them to take care of the African continent. They do it now not because they want it, but because they have to consider that Africa plays an invaluable role in the global economy. However, both institutions remain reluctant to adjust their strategies, guidelines and overall philosophy.

For this reason, among other things, the IMF often punishes the poor in poorly performing and economically unstable African countries whenever it imposes its hard-core sanctions under the guise of monetary and fiscal policies.

Therefore, the belief that the intervention of the IMF, the World Bank and any international organization will change Liberia for the better is a mistake and a waste of time. Of course, these global institutions can and will help all countries in need of life support because of poor governance and poor economic management. The best they can do is provide temporary badistance and possibly minimal development support. Thus, the news and satisfaction that the implementation of IMF policies and programs in Liberia means that the manna will fall from paradise is at best fun. This will not happen! The situation will worsen and Liberia will remain unchanged if the Liberians continue to remain in their habits and display their self-destructive, apathetic and patriotic attitude.

13031. The bad situation in Liberia is a Liberian problem and can be better addressed and adequately addressed by experienced, experienced and credible Liberians who understand their own problems. The only condition is that seasoned, experienced and credible Liberians must not only be willing, patriotic, dedicated and determined to do so, they must also be supported by the Liberian people, including by its power.

Liberia's current problems can be easily solved when Liberians collectively decide to create new, innovative and strategic entities and to strengthen the country's existing legal, democratic, economic, social and political institutions, so as to fully implement the Liberian law. the rule of law, accountability, transparency and a merit-based system of competition.

Although many people believe that the ready-made solution prepared by the IMF will be the salvation of the current crisis in Liberia, it could end up hurting the already poor segment of the Liberian population. It is time for President Weah and the CDC-led administration to realize that nothing can be done differently by the IMF and the World Bank when everything, like Liberia, remains unchanged. If the president is really serious and wants a real presidential legacy and leadership as well as a better country, he must act. Act fast and now!

Instead of focusing on the IMF and the World Bank, the Liberian government must create jobs in the private sector, support innovation, and be transparent and accountable in its activities. Each government agency and agency manager must have bi-weekly, monthly and quarterly deliverables to make Liberia a better place to live, work and do business. Liberians need concrete deliverables in the sectors of agriculture, tourism and hospitality, communications and information technology, the health sector, the health sector. Education, infrastructure and housing, trade and services, the service sector, the development of the workforce and innovation, professional services, and of course the general domain public policy and the legislative sphere.

Job creation and entrepreneurship play an important role in solving Liberia's socio-economic problems, as the stability of any economy depends on the ability to maintain a low unemployment rate and to provide a safe workplace and secure. Liberians must be put to work. One of the most important aspects of work is that it provides a person with the income needed to meet his or her basic needs. And according to several types of research, working also gives people a sense of identity and the feeling of accomplishing activities that contribute to society.

Economists, policymakers, social scientists and other recognized specialists have all recognized that jobs are important for a number of reasons: jobs provide workers with a sense of self-worth and satisfaction and generate income for themselves. families, communities and government, which encourages spending and stimulates the big economy. Besides having a job is a important part of people's lives. It means more than just getting paid. It means being able to make your own choices about how you want to live your life.

Creating jobs and improving the labor force and labor market in Liberia requires sound policies, innovative advice and effective managers. Without these elements, a mere confidence in the intervention of the IMF and the World Bank would not solve the serious deep-rooted and worrying socio-economic dangers of Liberia.

Because job creation is so important, almost every US president, legislator and state governor makes it a non-partisan concern and priority. For example, President Bill Clinton created 18.6 million jobs during his two terms. This was the most number of jobs any American president . The president of the largest job producers was President Franklin D. Roosevelt. Although Roosevelt has created only 9.6 million new jobs, this represents a 21.5% increase in the total number of jobs created.

Having said that, let's badyze the importance of employment in the details:

1. Employment is important for economic development and social stability.

2. Social development is the result of employment.
3. Employment reduces the level of corruption and crime in a system and in society.

4. Employment is a vital unit of poverty alleviation;

5. Employment empowers women and girls and prevents or reduces prostitution and abuse;

6. Employment gives voice to people and communities and enables them to become full members of their governance and democratic process.

7. The job leads to a secure retirement. and
8. Only employment can prevent people from becoming protesters, thugs, armed robbers or even terrorists.

In addition, it is not only important to create jobs, but also to create sustainable jobs in the near future. This is the reason why creating jobs or duplicate and unnecessary positions in a government is counterproductive for economic viability. As we can see, the current Algerian government is largely imposing an unnecessary burden of wages.

For the Weah Administration to succeed and the CDC Government to mean business, the President and the Administration must put aside unnecessary partisanship and policies and focus on serving the Liberian people by supporting the spirit of self-government. business of Liberians in all fields and sectors. This would require facilitating an open, transparent, enabling and friendly business climate, as well as removing all barriers to new ideas and business spirit.

Entrepreneurship is essential for small businesses because these are often called the backbone of any economy. Policies that encourage the growth of small businesses and facilitate the role of entrepreneurs and innovation in the labor market and investment are considered healthy for the economy as a whole. In addition, entrepreneurs create new businesses in the form of new goods and services. This, in turn, can produce a cascading effect by stimulating the businesses or related sectors supporting the new business, thereby promoting economic development.

For example, some innovations and IT companies created the Indian IT sector in the 1990s, while serving as a programming center. Subsequently, the computer industry in India has accelerated in the field of its own programmers. But more importantly, millions of other sectors have benefited. (For more, see: The best Indian billionaires and how they earned their money .)

Finally, no element of the IMF's doctrine and the big check of the World Bank can save Liberia from its economic and social vulnerabilities or those of another African country. President Weah and the administration led by the CDC, regardless of their political affiliation, friendship, personal loyalty, etc., should seek the badistance of other Liberians with the capacity, the ability to Experience, creativity and skills required. President Paul Kagame has and continues to do so in Rwanda without the IMF and the World Bank and to see where his country is. President Weah and the CDC-led administration should follow in the footsteps of President Paul Kagame and the Rwandan government.

About the author:
Jones Nhinson Williams is a professional of Liberian origin specializing in public policy, institutional development and labor market badysis. He lives in both the United States and Liberia. He is a consultant in international development in the fields of job creation, industrial and professional innovation, labor market badysis and workforce development. .

It can be reached at [email protected] .