[ad_1]
Managing Director of the International Monetary Fund (IMF) Christine Lagarde urged poor countries to stop using global consulting firms to develop development strategies.
She referred to inefficient spending on critical consultants at an event on financing sustainable development goals at the World Economic Forum (WEF) in Davos, Switzerland.
Furious. Lagarde even commissioned representatives of "McKinseys and Boston Consulting Groups" or any other consulting company in the room to listen to her as she conveyed an uncomfortable message about their work.
The former French minister said that low-income economies and emerging market economies needed to generate more revenue themselves in their country and remove projects related to white elephant and corruption.
She said the private sector has a vital role to play in ensuring that the poorest countries can achieve the 17 development goals set by the UN.
But she warned, "I look around to see if there are McKinseys and Boston Consulting groups, and if there are any, listen to me.
"I see that many low-income countries and emerging market economies are spending millions of dollars to hire consultants to develop their strategic plan. I would recommend saving money by taking the 17 principles, the elements that can lead to action, and start with that.
"From there, the consultants can really do their job to make it happen. But do not reinvent it, it's there. So much is wasted. This is part of inefficient spending that can actually be saved. "
The comments could provoke controversy not only in the consulting sector, but also among critics of the IMF itself.
The fund has a tarnished reputation in many parts of the world for its heavy promotion of free market reforms in indebted countries over the last few decades.
The view of a senior IMF official now urging developing countries to reduce their reliance on imported private sector skills may be a cause for concern.
[ad_2]
Source link
