ECONOMICS

• The World Bank

  The World Bank was created in 1944 to help rebuild economies after World War II. Today, the bank's stated purpose is to "fight poverty/amd improve peoples' lives" by providing grants and loans to developing countries to pay for development activities.
• The World Bank

  Currently the bank provides US$20 billion per year for development projects. There are 185 member countries in the Bank. Each member has 250 votes, and then 'shares depending on on the size of its economy. They receive one extra vote for every share. This means that countries with large economies have more influence over Bank decisions. The largest shareholder is the United States, with 16.39% of votes. Burma is a member of the World Bank, but the Bank suspended all lending to the country in 1987.
• Criticisms of the World Bank

  The World Bank is often criticised for conditionality). This is when loans are given with certain economic and social policy conditions. Before receiving money, countries must agree to these conditions. These can include privatising state assets, lowering import tariffs and liberalising their markets. The Bank has also been criticised for its shareholder policy. Poor countries, who are most in need of the Bank's assistance, have the least influence over its decisions.
• The International Monetary Fund (IMF)

  The IMF was created in 1945 to support an international system of fixed Fuchange rates to help rebuild economies after World War II. Now the fund acts more as a money-lenderimies after won desperate need. It also monitors the economies of in general.
• The International Monetary Fund (IMF)The Fund has 184 members. The size of a country's economy fits member states, and the global economy determines the amount of money that they are allowed to request from the Fund (known as Special Drawing Rights). It has a similar shareholding system to the World Bank, meaning that larger economies can buy more shares, and so have greater decision-making power
• The IMF has not lent any money to Myanmar since 1988. The Fund still attends meetings (called 'consultations') each year with Myanmar's government and central bank to discuss economic issues.
• Criticisms of the IMF

  The IMF is criticised for giving rich countries too much control over its decisions. Critics argue that rich countries use the IMF to put pressure on poor countries to reform their economies for the rich countries' benefit (usually trade liberalisation). They argue that the IMF's policies have worsened the financial crises in may poor countries, and created greater poverty.
• When was the World Trade Organisation (WTO) created?

  1995
• What is the stated aim of the WTO?

  To ensure that trade flows as smoothly, predictably, and freely as possible
• How many member countries does the WTO have?

  150
• How does voting work in the WTO compared to the World Bank and IMF?

  Each member country only receives ONE vote
• What are the main functions of the WTO?

  The WTO makes rules for international trade, settles trade disputes, and monitors national trade policies
• How often do member countries meet to negotiate economic liberalisation?

  Every few years
• What happened during the last trade negotiations in July 2006?


  They failed to produce any agreement
• Since when has Myanmar been a member of the WTO?


  Since 1995
• What are the key roles of the WTO?


  • Makes rules for international trade
  • Settles trade disputes
  • Monitors national trade policies of member countries
• What do critics argue about the WTO's impact on poor countries?

  Critics argue that the WTO forces poor countries to liberalise their economies while allowing rich countries to protect theirs.
• What are the criticisms regarding the WTO's decision-making processes?


  Critics claim that the WTO's decision-making processes are too complicated, undemocratic, and not transparent.
• How does the representation of poor countries in the WTO affect their ability to negotiate?

  Despite having four times more poor countries than rich countries in the WTO, poor countries rarely negotiate beneficial trade policies.
• What is the implication of WTO agreements on member countries' national policies?

  WTO agreements can be more powerful than the national policies and laws of member countries, threatening their democracy and decision-making power.
• What roles do the World Bank, IMF, and WTO play in international development?

  • Regulate international development
  • Oversee international finance
  • Manage international trade
• How are the World Bank, IMF, and WTO perceived by some critics?


  They are criticized for being unfair and failing to protect the economic interests of poor countries.
• What do critics say about the protection of economic interests by the World Bank, IMF, and WTO?

  Critics argue that these institutions unfairly protect the economic interests of rich countries.