Pakistan is one of the poorest countries in the world, with many of its citizens living below the

An example of the IMF’s ability to promote strong, stable economies is the case of Jordan. In the 1980s the declining oil prices and the related recessions in the Middle Eastern oil exporting countries was disadvantageous to Jordan. In 1989 Jordan had a 30-35 percent unemployment rate and was having a hard time due to their external debt. This led the authorities to request the country’s first arrangement with the IMF. Economic reforms were a part of the agreement between Jordan and the IMF. Jordan agreed to a series of five year reforms financed by the IMF, therefore the government took on huge reforms prioritizing foreign investment and easier trade policies. They were ultimately able to reduce the overall debt payment up to a manageable level. Jordan is currently regarded as a country by which the effectiveness of the IMF assistance is assessed.

Several developing countries are sunk in debt and poverty because of the arrangements of global establishments, for example, the International Monetary Fund (IMF) and the World Bank. Their projects have been vigorously reprimanded for a long time and have been constantly blamed for poverty. Moreover, developing countries have been in constant expanded reliance on the wealthier countries, despite the IMF and World Bank's claim that their main goal is to fight poverty (Shah, 2013). During recent decades, the poorest nations on the planet have needed to swing progressively to the World Bank and IMF for money related help, because their impoverishment has made it unthinkable for them to acquire somewhere else. The World Bank and IMF connect strict

The time when General Pervez Musharraf took over, Pakistan was facing major economic problems such as

Pakistan gained its independence in 1947, and was mostly under martial law until 1984, four years before the IMF started granting loans to Pakistan that would never be repaid. Despite having a historic culture and ample natural resources, Pakistan as a country cannot seem to keep it’s head above water financially. Doctor Ehtisham Ahmad of the London School of Economics says,“11 out of 12 IMF programs since 1988

1. Gen. In the world Pakistan is a county that is facing one of the most critical conditions of terrorism. Pakistan is on an urge of war against the terrorism since more than 15 years that has been killed thousands of innocent citizens and several hundred of soldiers and law and enforcement agencies' personnel during fighting against terrorism. This irritation has not only affected the peoples of Pakistan, but it has been also very bad effects upon the economy of Pakistan. These things have made the economic situation of the state unsteady and unsecured.

Rapid changes in governments, people’s non-trust towards the government and number of Martial Laws and declaration of Emergencies in Pakistan has made this country to be a high risk country for foreign investment. Examples of political factors are changes in government, changes in govt. policies, corruption, type of government, regulations, trade restrictions, tax policies, tariffs etc.

In june of 2012, the world bank committed about $52.6 billion in loans, grants, equity investments, and helps in promoting economic growth, poverty and economic enterprise. The IMF promotes international monetary cooperation and also provides policy advice and technical assistance which helps countries maintain strong economies. The world bank promotes long term economic development and poverty reduction by providing technical/financial support to help countries reform.

The World Bank and the IMF are among the two most corrupted financial institutions to exist today. They're also two of the wealthiest institutions in the world. While they were created after WWII supposedly to help countries recover in during harsh conditions or during economic troubles, they have seemingly done the opposite. They manipulate poor countries by giving loans out to countries that are in such harsh conditions that they must accept the loans. Once they do accept the loans, it becomes a never ending maze of debt. Examples of this corrupt dealing exists still today in countries within Africa. The institutions charge huge amounts of interest and place special conditions on the loans that are accepted which creates a great amount debt. Quickly,

In an effort to bring an end to world poverty the World Bank and IMF (International Monetary Fund) were established in 1944. Consisting of members from 44 nations “The Bank and the IMF are twin intergovernmental pillars supporting the structure of the world's economic and financial order”(Driscoll, 1996). In other words they are international economic organizations that grant loans to third world countries for development programs.

Surveillance involves the monitoring of economic and financial developments, and the provision of policy advice, aimed especially at crisis-prevention. The IMF also lends to countries with balance of payments difficulties, to provide temporary financing and to support policies aimed at correcting the underlying problems; loans to low-income countries are also aimed especially at poverty reduction. Third, the IMF provides countries with technical assistance and training in its areas of expertise. Supporting all three of these activities is IMF work in economic research and statistics (What the IMF Does).

abatement of outside debt through depreciation by official donors. It was made to help the poorest of nations though some criticize it is only offering aid to rich countries with decline in aid to truly needy ones. The IMF or International Monetary Fund was set up as a last resort means of aiding struggling countries. "The International Monetary Fund, based in Washington, D.C., is the global economy's lender of last resort to countries in crisis. " (The New York Times 2012). These two oganizations, one created by the other, can produce a lot of good in terms of providing financial stability through working together for a common goal.

Ever since organizations and agreements like the North American Free Trade (NAFTA) and the International Monetary Fund (IMF) were created around the end of World War 2 to supposedly help the Third World nations to establish better economies and governments, they have only done more harm than good for these nations. These third world countries end up becoming exploited and extorted, forced to become dependent on the big international organizations like the IMF because of the exorbitant interest rates charged on them, thus they remain forever in debt. The accumulation of debt then allows the IMF to have more voice over how the indebted countries should be shaped and how they should run their economy. What ends up happening then is that their

Throughout, there is a keen sense that the IMF is completely guided by ideology which is focused on the free market and the markets’ ability to guide the economy properly at all times. It would seem that all those who work at the IMF are misguided and/or towing the party line in the form of the Washington Consensus. Moreover, of greater concern is perhaps that throughout this piece, it would seem that the World Bank could do no wrong. Stiglitz portrays himself and the World Bank as the white knight(s) who were championing the rights of those who could not fight for themselves against the US government, the US Treasury and even the Federal Reserve. He does so with little regard to any policies or actions that these organizations have done for positive reasons or with positive results. He displays unwavering support for governments to stimulate aggregate demand via social spending, so it is surprising that he is so punitive towards Western governments.

The three major international economic institutions are the International Monetary Fund (IMF), the World Bank and the World Trade Organization; this book mainly focuses on the IMF and the World Bank, due to the author’s first-hand experience with both institutions. The IMF, a public institution built as a guiding hand for economic stability around the world, has brought false

1.The international financial institutions (IFIs) are central pillars and the architects of the global economy. The world bank and IMF were founded and funded by the United states after the second world war to build shattered world economy after the war and great depression of the 1930s (socialist alternative,). The creation of the IFIs was to bring about a global economy after the “isolation economy” which some argue brought about the Second World War. The IFIs were to help the economy of the less developing countries (LDCs) to bring about growth and development, a phenomenon known as globalization.