The IMF in Pakistan C.P. Chandrasekhar

On February 4, after meetings held at Dubai for security reasons, an IMF team arrived at an agreement with officials from Islamabad, which would permit the release of the last-but-one tranche of $497 million out of an SDR 4.393 billion billion loan package (around $6.64 billion in exchange rates prevailing at time of sanction) under its Extended Finance Facility (EFF). The agreement came after the 10th review of economic performance and policy undertaken as part of the 3-year arrangement approved by the IMF Executive Board in September 2013. The IMF in its press release has chosen to be complimentary. Besides…

People’s Quantitative Easing: A Jeremy Corbyn proposal T. Sabri Oncu

Views that PQE proposal violates the separation of monetary and fiscal policies and removes the fiscal discipline have provoked debates that the policy makers of the developing countries should concentrate on. peoples_quantitative  (Download the full text in PDF format) (This article was originally posted in the Economic and Political Weekly, Vol - L No. 41, October 10, 2015.)  

Dispute Settlement in International Investment Agreements and the Rules of an Indian Model Bilateral Investment Treaty Andrew Cornford

Coverage and procedures for dispute settlement in international agreements on investment and trade are proving increasingly controversial. The current controversy reflects contentious issues in two ongoing multilateral negotiations, on the TPP (Trans Pacific Partnership) and TTIP (Transatlantic Trade and Investment Partnership). The targets of contention include provisions designed to achieve regulatory convergence among the participants in the negotiations regarding subjects such as environmental regulation and intellectual property rights. Moreover the rules agreed under these agreements will increase the scope for private investors to bring suits against governments for future losses imputed to changes in regulation and other official actions under…

The Devaluation of the Yuan Prabhat Patnaik

The Chinese central bank’s decision last week to let the yuan depreciate in three stages by almost 4 percent against the U.S. dollar, was officially explained as a move towards greater market determination of its exchange rate. Though this explanation pacified stock markets around the world, China’s devaluation of the currency portends a serious accentuation of the world capitalist crisis. To see this devaluation in its proper context, we have to remember that the Trade Weighted Exchange Rate (TWER) of the yuan (i.e. its exchange rate against a basket of currencies whose composition is determined by the importance of that…