August 28, 2014
Africa is one of the most talked about unhealthy, unfed and suffering countries in the world. I thought this would be a great country to do this assignment on to prove how medical attention, donations and other funding help benefit the economic growth of this country. The World Bank and International Monetary Fund (IMF) are two of the most powerful international financial institutions in the world. These are the major sources of lending to African countries. These companies use the loans they provide policies and dictate major changes in the country of Africa and other countries as well. The World Bank is the largest public development institution in the world, lending over $24 billion in 2007 of which over $5 billion (or 22 percent) went to Africa. That alone is a lot of money for one country, but not for one who is suffering as bad as Africa.
These companies are controlled by the world's richest countries, particularly the U.S. The United States is the largest shareholder and stock holder when it comes to lending money to foreign countries. The World Bank headquartered is located in the United States right here in Washington, DC. Being they are the headquarters, have the greatest say in decision making. The U.S. holds roughly 17% of the vote in the World Bank and the 48 sub-Saharan African countries together have less than 9% of the votes. What they call Group 7 or (G-7) control 45% of World Bank votes. This system ensures that the World Bank and IMF act in the interest of the rich countries, promoting a model of economic growth, In with stimulates the money coming into the country. Over the past 20 years, the poorest countries in the world have had to turn increasingly...