The remarks of the World Bank president regarding the gap between rich and poor states describe an undeniable reality which is raised once in a great while by officials of international organizations at important international meetings.
The increasing gap between developed and underdeveloped countries is the result of inequalities that are deeply rooted in the problems in their economic and political structures as well as their interactions with each other in the past.
There is no doubt that any realistic solution to the global problem should take into consideration the root causes of economic woes.
Meanwhile, the World Bank and the International Monetary Fund (IMF) -– whose policies have a direct influence on the international economy –- are the first to blame for the economic conditions prevailing throughout the world.
This is because these institutions have already failed to decrease the gap between rich and poor countries and have even widened the gap in certain cases. The harsh conditions attached to loans to developing countries are ample proof of this.
However, these institutions are not really independent, since major powers, which are indifferent to the plight of developing states, influence the formulation and implementation of IMF and World Bank programs meant to provide financial assistance to poor countries.
Furthermore, the main goal of the developed countries that control international financial institutions is opening the markets of developing states.
However, rich and poor states’ widely differing opinions toward globalization, most recently seen at Cancun, and their negative consequences manifest a widening gap between rich and poor countries.
Twenty percent of the world population takes in about 80 percent of world revenues. Therefore, it is no surprise that creating a balance between rich and poor countries is difficult, considering the current policies of the major powers and the onward and seemingly blind march of globalization.
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