September 20, 2024
Nearly 80 countries are in or at risk of debt distress. These debts drain resources, especially in climate-vulnerable nations, creating a cycle where debt hinders climate and development efforts, and rising costs deepen the debt. International Monetary Fund (IMF) surcharges exacerbate this issue without achieving their goal of encouraging quicker repayment.
The IMF’s ongoing surcharge review is a crucial chance to end this flawed policy, and US voices will be essential in leading the change. CEPR’s recent webinar, “The Growing Impact of Surcharges,” focused on the detrimental effects of IMF surcharges on developing countries and the urgent need to end the policy.
The webinar featured a screening of our video exploring the history of surcharges, how they harm developing countries and individuals, and what we can do to combat this significant challenge facing the Global South.
This was followed by a discussion with CEPR experts Andrés Arauz, Michael Galant, Ivana Vasic-Lalovic, and Mark Weisbrot, who answered attendees’ questions.
