Survey on the impact of privitization
The Social Justice Committee is undertaking a survey of the impacts of enforced privatization in impoverished countries, as components of IMF adjustment policies and especially as conditions for the HIPC Initiative process.
For this project, we are examining privatization and deregulation through three broad categories: water, land and labour. We are beginning with an understanding that corporate control of water, land and labour is an integral part of IMF–driven programs, and that the debt crisis has been manipulated to assure the extension of corporate power in these areas that should rightly be under the control of the people as a whole.
We are looking at the economic impacts but, much more importantly, we want to describe the reality for individuals, families and communities. The results will be published in June.
We invite our colleagues and partners in the struggle around the world to provide their input, and help us with putting together this information. Please contact the Social Justice Committee at sjc@web.ca.
Background:
The IMF and World Bank are enforcing conditions for their debt relief program that include, among hundreds of other conditions: privatization of energy, privatization of telecommunications, deregulation of petroleum prices, removal of subsidies for public transportation, privatization and liberalization of mining sector, and implementation of bank service fees.
Countries of the "Paris Club" group of creditors also link their debt relief to successful completion of the conditions. The debt crisis is being used to enforce conditions that previously had to be agreed to if impoverished countries wanted the IMF seal of approval so that they could get development finance.