Renewed crises in emerging economies and the IMF ‒ Muddling through again?
As recognised by the International Monetary Fund (IMF), the global financial safety net including international reserves, Fund resources, bilateral swap arrangements, regional financing arrangements is “fragmented with uneven coverage” and “too costly, unreliable and conducive to moral hazard”. Given the aversion of emerging economies to the IMF and unilateral debt standstills and exchange controls, the next crisis is likely to be even messier than the previous ones. Some countries may seek and succeed in getting bilateral support from China or some reserve-currency countries according to their political stance and affiliation. In such cases, crisis intervention would become even more politicised than in the past and a lot less reliant on multilateral arrangements. By failing to establish an orderly and equitable system of crisis resolution, the IMF may very well find its role significantly diminished in the management of the next bout of crises in emerging economies. In other words, multilateralism, however imperfect, could face another blow in the sphere of finance after trade.
South Centre Statement at the Meeting of Ministers of Health of the Member States of the Non-Aligned Movement
The South Centre reiterates its commitment to support the Non-Aligned countries so that there is close and effective cooperation among developing countries to strengthen a global health agenda. WHO was created as an international public agency in the service of global health. Recovering and reinforcing this role should be the work of all.
Transfer Pricing: Concepts and Practices of the ‘Sixth Method’ in Transfer Pricing
Many developing countries are particularly concerned with problems of transfer pricing in the extractive industries, which are often significant components of their economies. Similar to other sectors, profit attribution may be highly dependent on the valuation of commodity exports. For this reason, a number of developing countries have adopted the ‘Sixth Method’, following the Argentine experience. This method aims to establish a clear and easily administered benchmark and avoid the need for subjective judgment and discretion.
Taxation has been a key tool in improving Ecuador’s Gini coefficient. Ecuador has improved how it manages tax collection and implemented domestic anti-fraud regulations and international mechanisms concerning aspects such as transfer pricing and tax havens. These measures have helped to increase the tax base, which has had a positive impact on the redistribution of wealth and equality. The increase in the tax base has also led to more social investments in health care, education, the road infrastructure, etc.
The Cooperation and Facilitation Investment Agreement (CFIA) in the context of the discussions on the reform of the ISDS system
The Brazilian Cooperation and Facilitation Investment Agreement (CFIA) model establishes an alternative approach to dispute resolution. This does not mean, however, that the CFIA is silent with regards to possible disputes arising from breaches to the agreement and/or claims by investors. Based on the premise that the investment regime between two or more countries is a positive-sum game, in which all parties involved win, the CFIA presents an approach based on the prevention of disputes.
Antibiotic resistance—and the broader antimicrobial resistance (AMR) – is a silent but major killer. In fact it is emerging as the most serious threat to global health, with experts warning of a “post-antibiotics apocalypse”.
This special issue of South Bulletin focuses on the AMR crisis, especially on how it affects developing countries—and the great challenges on fighting this threat.
The IP Negotiations Monitor summarizes the latest developments in multilateral and regional fora where intellectual property negotiations are taking place, and informs on upcoming meetings and events.
Recent news about the collusion of Facebook, Cambridge Analytica and the Trump election has brought forward one of the more covert and often insufficiently discussed problem of Social Media platforms to the fore. Instead of calling out Facebook alone, I prefer to use Social Media platforms as the problems related to big data enterprise and privacy are as much a Twitter/Whatsapp/Instagram/Snapchat issue as it is for Facebook.
Yet right now Facebook is being attacked from left, right and center by everyone including their own ilk. The question this merits is whether the data problems with the Social Media platforms are only limited to explicitly share data (which Facebook is being blamed for) or is it also about the (more often used) method of implicitly acquiring and utilizing user information? (more…)
Outcomes of the 142nd session of the WHO Executive Board
The 142nd session of the WHO Executive Board discussed several critical public health issues including a recommendation to the WHA to approve the General Program of Work (GPW), the adoption of important decisions relating to access to medicines and research and development and a draft resolution on the preparation of the UN High Level Meeting on Tuberculosis.
The new agreement that eleven countries are signing on 8 March in Chile in place of the Trans Pacific Partnership Agreement (TPP) is like old wine in a new bottle — without the United States but retaining most of its controversial elements. The TPP seemed to have died when President Donald Trump pulled the United States out of it early last year. But the remaining 11 members have rescued it almost intact, giving it a new name, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). (more…)
How international investment agreements have made debt restructuring even more difficult and costly
International investment and trade agreements are legally binding international treaties which give investors an additional layer of legal protection on top of the host country law and contract law. However, little efforts have been made in ironing out the interface between these different laws and treaties. Inconsistencies and even contradictions have emerged in dispute settlement decisions, sometimes at the expense of public good, sovereignty and financial and economic stability. An asymmetry seems to exist in the allocation of risks and benefits between investors and recipients of investments. (more…)
