| |
Contributions from
the Column
Facts and trends
No agreement on generic exports
Worldwide privatisation of education
Widespread protest against impending war with Iraq
Zimbabwe: "Against Mugabe but for the people"
IMF waters down insolvency law proposal
EU Commission proposes seemingly generous reduction of agricultural subsidies
Malaria
02/2003
|
|
IMF waters down insolvency law proposal
The International Monetary Fund (IMF) has dropped a clause from its proposal for an international insolvency law – a clause which was intended to protect debtor states from creditor litigation while insolvency proceedings are underway. The IMF explains the deletion by pointing to the need for an effective and consensual procedure for tackling international debt crises. The modification itself is claimed not to represent a major departure from the original plans. Even without the clause, the IMF says, there are good reasons for creditors not to pursue claims in the courts.
The IMF's plans to grant indebted countries protection from creditor litigation had been roundly criticised by international investors, who saw the plans as an assault on property rights. Reservations were also expressed by many newly industrialising countries, who feared rising capital costs. A detailed proposal for the projected state insolvency law is due to be presented at the spring meeting of the IMF and World Bank in April. (uke)
Net resources
Insolvency law: www.imf.org/external/np/exr/facts/sdrm.htm
|
