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Christine Lagarde and Jim Kim at the IMF-World Bank spring meetings
Oxfam's Nicolas Mombrial said: “The IMF and World Bank have admitted the dangers of skyrocketing inequality, but they’re not showing any concrete signs of dealing with the problem.
On the IMF
“Lagarde said bold actions are needed for stronger, sustainable and more inclusive growth, so it’s surprising that the IMF is not proposing a clear plan for dealing with inequality.
“There’s no trade-off between growth and inequality. There will be no inclusive growth if economic inequality remains out of control.
On the World Bank
“Jim Kim’s recognition that growth is not enough for development is welcome, as is the commitment to measuring who the world’s poorest 40% are, and where they live.
“The World Bank’s promise to lift up the world’s poorest 40%, but they won’t succeed the gaps between richest and poorest keeps growing. In a world of finite resources, the pie has to be shared.
“The economic and political instability caused by inequality knocks investment, and makes it hard for poor people to be healthy and productive.
“There needs to be much greater scrutiny and control of World Bank funding channelled through financial intermediaries such as private equity funds, banks and credit agencies. The World Bank’s private lending arm must ensure its loans do not put poor people and the environment at risk.”
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