Two different countries in two different continents. One of them is considered as Third World Country, the third world countries are generally undeveloped countries. Congo, is one of these countries which can not develop itself for years. The other one of these two countries, Turkey. It is located at the centre of three old continents which are Europe, Asia, and Africa. As it is seen it has geopolitical importance because of its location. Although they are located in different region and different continent in the world these two countries both have the same problems. These two countries are members of International Money Fund. However there are lots of similarities between Turkey and Congo, these countries are not exactly the same countries. Both of them are taking financial aid from this international institution to develop and overcome some economic problems in their countries such as big economic crises. There are some ideas about IMF financial aid some people are against some are not, but generally getting financial aid from these institutions such as IMF, is useful for the developing countries like Turkey and Congo.
The International Money Fund is an international organization of 184 member countries. It was established to supply international monetary cooperation, exchange stability, and orderly exchange arrangements; to encourage economic growth and high levels of employment; and to provide temporary financial help to countries to help ease balance of payments adjustment. The International Money Fund helps lots of countries all over the world to develop their economy and to make the standards of living higher. IMF helps to the countries by three ways which are; reviewing and monitoring national and global economic and financial developments and advising members on their economic policies; lending them hard currencies to support adjustment and reform policies designed to correct balance of payments problems and promote sustainable growth; and offering a wide range of technical assistance, as well as training for government and central bank officials, in its areas of expertise (About The IMF,2002). Meanwhile Congo and Turkey are two countries which take financial aid from IMF. Congo ,which is an African country, they gave fragile agreements with IMF in December 1998, after their economy progress was badly hurt. Likewise, Turkey has signed seventeen assignments with IMF since 1961 There are some similarities between Turkey's and Congo's economy like their crises and bad economic situations; also these two countries are getting financial aid from IMF.
Turkey's economy was really bad during the second World War, in these years the big percentage of Turkey's economy was agricultural revenue. After that Turkey did a big attack and changed its policies in economy and in the early 1980s industry and services became important in the economy. There was a great development in economy nevertheless, Turkey was able to achieve only a growth rate of 6% during the period of 1985-1992. After a reasonable economic performance since 1980s; in early 1995s Turkey has started to suffer from high inflation and devaluations for years and that was the biggest problem for Turkey. Especially in April 1994, there was economic crises in Turkey. In these years Turkey got a financial aid from International Money Fund about $740 million. Although the economy showed signs of improvements after this aid, because of the political obstacles, the government was unable to control the inflation. At the end of 1994 economy was suffering from both the worst level in the history; GDP dropped %5 and the inflation hit a record 126% in Turkey (Overview of Turkey's economy). IMF had lots of helps for Turkey during the crisis. There are lots agreements signed between the IMF officials and Turkey's government since 1980s. When there is crises or a need for money in Turkey there are not so much way to get money for big amounts; the address is clear, IMF. Today, Turkish officials are now negotiating a new letter of intent with the IMF.
The economy of Congo is a mixture of agriculture and handicrafts an industrial sector which is mostly in oil industry. The two-thirds of the population is working in agricultural area. The Congo joined the IMF on July 10, 1963. It is obvious that the oil industry of Congo, is under control of France and Italy. The Congolese oil sector is captured by the French oil company Elf-Aquitaine, which accounts for 70% of the country's oil production. In second position is the Italian oil company Agip. In 1994, there was a devaluation in Congo and then, they started to reform their economy including reforming the tax, investment, and labor as Turkey did in 1980s. To achieve their goal IMF ratified a 3-year Enhanced Structural Adjustment Facility (ESAF) economic program in June 1996. There are lots of agreements signed between IMF officials and Congo's governments since 1960s. As it is seen from the French and Italian effects on Congolese industry, Congo is not a real independent country about their economy.(Background Notes on Countries of the World 2002).
As it is seen above there are lots of similarities between two countries' economic policies and their standard of living structure. In Turkey most of the population was working in agriculture before 1980s and there were not enough industrial area or services.
Also in Congo two-third of the citizens were working in agriculture and there was only oil industry which is under control of France and Italy. Furthermore, they both did big attacks after their big crises, Turkey after 1994, Congo after 1996. In that point the IMF helped both countries to recover their economies. Turkey was given $740 million to put in order the country. Turkey is founder of IMF and Congo joined to the union in 1960s, it is clear that both countries have good relations with IMF since 1960s. Especially Turkey uses IMF aid when there is crises in the country to pay workers' salary and to pay its debts to the other countries or some institutions. In addition to these functions IMF has different duties like controlling the inflation. In most of the agreements signed between IMF and Turkey, always there is a point about the inflation, behind that sometimes the achievement of the agreement depends on the inflation. There may be some disadvantages of IMF; because IMF wants countries to do something for their benefit. Some people think that IMF and its supporters are trying to capture the market in Turkey and by Turkey's debts it will be a dependent country so by this way it will never be a member of European Union. Both sides have valid reasons to support IMF or not; but nobody can think that financial aid of IMF is not useful for the countries which are not completely developed like Congo or Turkey.
In conclusion; as it is seen from the information given, Turkey and Congo have some similarities in terms of their economic situations. Both these countries are getting financial aid from International Money Fund to recover their economy and to reform something in their country. One of the founders of IMF, Turkey and one of the oldest member of IMF, Congo are both have lots of debts to this institution. As it is seen they have to get money from IMF to develop their economy or to reform their economy or to overcome the crises; despite they are in different continents and they have different governments or citizens.
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