International Monetary Fund

The European Union, which holds eight seats out of twenty four on the International Monetary Fund (IMF) board, has made an offer to rotate some of their IMF board seats with middle-income countries

The IMF will issue a $450 million loan to Pakistan which risks plunging Pakistan into debt that it can ill-afford. Oxfam is calling for the cancellation of all multilateral and bilateral loans to Pakistan, and for debt relief to be given on emergency assistance from the IMF.

Oxfam spokesperson Pamela Gomez said: "Governance reform at the International Monetary Fund is long overdue.

Poor countries are being forced to cut back on their economic crisis-response spending too soon. Education and social protection budgets are particularly badly affected. Oxfam is calling on the IMF to take steps to reverse this trend.

Contrary to the positive picture painted by the International Monetary Fund in its 2010 World Economic Outlook, poor countries are being forced to cut back on their economic crisis-response spending too soon.

The fact that the IMF is proposing that adaptation efforts are funded by grants rather than loans is positive. But this will only work if developed countries ensure the money is there to resource this vital assistance to vulnerable countries.