International Monetary Fund

International Monetary Fund 1

Running Head : INTERNATIONAL MONETARY FUND

The International Monetary Fund and Debt Relief for Liberia

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The International Monetary Fund and Debt Relief for Liberia

After the Great Depression of the 1930 's caused by self-defeating economic policies , countries around the world combined their efforts to alleviate the world economy and set a standard for international trade by establishing the International Monetary Fund or IMF

The organization aims to promote international

monetary cooperation facilitate the expanding growth of the world economy , ensure exchange rate stability , and provide temporary financial and technical assistance to its member countries ( HYPERLINK "http /www .imf .org http /www .imf .org . Such purposes of the organization are demonstrated in their efforts in Liberia , a country known for blood diamonds . The New York Times published last year of the United Nations Security Council , banning Liberian diamond exports after failure to comply with the terms of the Kimberley Process , a mechanism which requires proof of the legitimacy of the source of the diamonds . The Liberian Government pushed to end the ban because the money from diamond sales was needed for reconstructing the damages caused by more than a decade of the country 's diamond-fueled civil war ( HYPERLINK "http /www .nytimes .com " http /www .nytimes .com . To help Liberia 's economic recovery , IMF secured US 842 million from member countries that will allow the Fund to provide the much needed debt relief HYPERLINK "http /www .imf .org " http /www .imf .org

With diamond resources , a country like Liberia should not have financial difficulties , but as shown in this case , it is only the contrary . Greed can enslave thousands , even their own fellow Liberian and their government alone can not put a stop to it . With the IMF 's assistance the Liberian government can focus more on the needs of their people provide food , shelter , and medical support , improve quality of life and eradicate the horrors of the civil war , and cease blood diamond mining in their soil . The IMF is still upholding their mission and continues to International Monetary Fund 3

assist countries in peril such as Liberia towards development . In the future , the efforts of the countries that began the International Monetary Fund will not go on unnoticed , for it is in their ideals that change for the greater good flourished

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References

International Monetary Fund . What the IMF does . Retrieved November 16 2007 from HYPERLINK "http /www .imf .org /external /np /exr /facts /glance .htm http /www .imf .org /external /np /exr /facts /glance .htm

International Monetary Fund (2007 , November 12 . IMF Managing Director Dominique Strauss-Khan Announces Financing Milestone on Debt Relief for Liberia . Retrieved on November 16 , 2007 from HYPERLINK "http /www .imf .org /external /np /sec /pr /2007 /pr07254 .htm http /www .imf .org /external /np /sec /pr /2007 /pr07254 .htm

Reuters (2006 , December 21 . U .N . Council Renews Liberia Diamond Ban The New York...