Senior economist “ashamed” of having worked for IMF; blasts power-play
A senior economist at the International Monetary Fund spearheading the bailouts of three Euro zone countries has lambasted its lack of leadership and said its first female chief is not fit for the job.
In a letter obtained exclusively by CNN and addressed to Shakour Shaalan, dean of the executive board of the IMF, 20-year veteran Peter Doyle says he is “ashamed to have had any association with the Fund at all.”
Doyle, a former advisor to the IMF European Department, which runs its programs for Greece, Portugal and Ireland, argues the body's failure to deliver timely and sustained warnings to the region's dithering politicians had led to widespread suffering for those living in stricken countries and the risk of worse to come.
The institution's lack of decisive action, Doyle says, has left ”the second global reserve currency (the Euro) on the brink.“
”The fund for the past two years has been playing catch-up and reactive roles in the last ditch efforts to save it,“ he writes.
Doyle, a former IMF division head for Israel and non-Euro zone nations Sweden and Denmark, was widely respected within the organization, according to IMF insiders who did not wish to be named due to the sensitivity of the issue.
Doyle did not work on countries within the monetary union, but his comments highlight strong feelings among the fund's economists about its work underway in places like Greece.
His attack comes amid concerns the fund's stringent austerity measures for debtor nations are doing more harm than good whilst failing to contain a crisis that is now well into its third year.
Doyle penned his missive on June 18 just as senior IMF representatives, including its first female Managing Director, Christine Lagarde, were trying to hammer out a new set of emergency measures with key Euro zone heads of government at the Group of 20 summit in Los Cabos, Mexico.
Doyle says one of the reasons the IMF has not delivered on its surveillance of the global economy is European bias which if anything, he says, is ”becoming more deeply entrenched.“
”This fact is most clear,“ Doyle states, ”in regard to the appointments for Managing Director, which over the past decade, have all-too-evidently been disastrous.“
Referring to Lagarde -- who recently completed her first year in the role -- Doyle says ”even the current incumbent is tainted, as neither her gender, integrity or élan can make up for the fundamental illegitimacy of the selection process.“
Doyle, who copied in Stanley Fischer, governor of the Bank of Israel, and Stefan Ingves, head of the Sweden's central bank, says his early warnings of the impending crisis were ”identified well in advance but were suppressed.“
William Murray, a spokesman for the IMF in Washington, said the fund had found no evidence to substantiate that claim, from Doyle or any other sources.
Doyle went on to accuse the IMF board of preferring a ”handicapped fund“ paralyzed by the power-play of international politics within its upper echelons and ”subject to those proximate roots of surveillance failure.“
”There are good salty people here,“ Doyle signs off, ”but this one is moving on. You might want to take care not to lose others.“
The IMF Murray says, ”A lot of the points raised are covered by a host of public reports related to the IMF economic surveillance and public statements by the management on these issues”.
Suggested Stories
-
May 23rd 2013
Europe’s three largest economies call for stricter rules on corporate tax avoidance
-
May 22nd 2013
Quarter of Italians edging the poverty line and most youngsters survive thanks to Mon and Dad
-
May 22nd 2013
Francis criticizes ‘savage capitalism” and the “logic of profit at any cost”
-
May 22nd 2013
PM Cameron warns 10 Overseas Territories on tax issues: ‘get your house in order’
14 comments Feed
Note: Comments do not reflect MercoPress’ opinions. They are the personal view of our users. We wish to keep this as open and unregulated as possible. However, rude or foul language, discriminative comments (based on ethnicity, religion, gender, nationality, sexual orientation or the sort), spamming or any other offensive or inappropriate behaviour will not be tolerated. Please report any inadequate posts to the editor. Comments must be in English. Thank you.
Mercosur is going the same way with the cabal of socialist leaders
“His attack comes amid concerns the fund's stringent austerity measures for debtor nations are doing more harm than good whilst failing to contain a crisis that is now well into its third year.”
The type of measures applied in UK for example right now?
I cannot wait for comments from our experts economists here lovers of the “Washington Consensus”, Chicago Boys and all these crap that like necons.
And if all that harm more your economy that means that our Queen lovely Cristina is quite right with his economy policies?
And that Argentina the wonderful country where a live now will grow while the UK will fall down even more?
How does feel to be in the wrong side of the planet?
LOL
What’s wrong Briton?
Ah! You have voted for KaMoron and he is disappointing you all the time perhaps?
You are sad because your little country has become the nation of the clowns and even from Somalia are laughing about you?
Or may be you feel so down and powerless like the Paraguayan president Franco after the Unasur and Mercosur suspension?
Or may you just have heard this infamous joke about Britons and they economic woes?
The other day someone told me... do you know which is the faster animal in the world?
I say may be the Acinonyx jubatus (cheetah) from Africa..
He said you are absolutely wrong...
I say really?
Yes, (and he replies to me) the faster animal in the world is a chicken found in London.
How could that be possible?
And do you know which one was the second faster animal in the world?
Honestly no (I reply after the shocking news).
He told me.. a former English trader from The City running after the chicken trying to catch it to get a proper meal...
Oh! People can be very cruel some times...
Don’t you think so?
#3 “And if all that harm more your economy that means that our Queen lovely Cristina is quite right ”
I couldn't put it better myself =)
#5 Love it! Its not quite true though, unfortunately the bankers are the only ones Cameron and Osbourne aren't making suffer for the crisis even though they caused it!
Do you want another about how long take British to take out the rubbish? ha haha
God turnes to Garbriel and says “no worries, I am filling it with Latinos”
Ha ha ha
so do you know how long takes a British mum to take the rubbish out?
Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!