GLOBAL FINANCIAL CRISIS

IMF: Financial Crisis Threatens Africa's Income Gains

The head of the International Monetary Fund, Dominique Strauss-Kahn, said Tuesday that the hard-won income gains in Sub-Saharan Africa during the past decade could be wiped out by the still unfolding global financial crisis. In a new study, the IMF says the financial crisis is likely to have a major impact on low-income countries, particularly in Sub-Saharan Africa.

IMF Managing Director Dominique Strauss-Kahn.The fund identified 26 low-income countries - 14 in Africa - that it regards as especially vulnerable to the lower export prices that have accompanied the global economic slowdown. Because these low-income countries are more integrated into the world economy, the IMF says they are more exposed to the crisis that has essentially stalled economic growth worldwide. The vulnerable economies include oil exporters Angola, Nigeria and Sudan.


Strauss-Kahn says next week's IMF conference in Tanzania (March 9-11) will focus on Africa's development priorities. The meeting will also look ahead to the summit of leaders of the world's 20 biggest economies in London early next month.

"Those African countries fear, rightfully, that decisions could be made at the global level, by a kind of governance council of the world economy, without their voice and comments," he said.

South Africa is the only African member of the Group of 20.

As the global economic slowdown accelerates, the IMF has downgraded its forecast for economic growth. In October, it predicted that Sub-Saharan Africa would grow by more than six percent this year. Its latest forecast cuts that figure in half. The world economy as a whole is expected to grow by a meager 0.5 percent in 2009 - its worst performance in 40 years.

The IMF's Strauss-Kahn says coordinated action is required to pull the global economy out of its slump.

"There's a real need to always and always to repeat the need for a multilateral approach to a global crisis, to take into account not only what is happening to your own country, but [also] outside," he said.

The International Monetary Fund has been calling for the major countries to implement coordinated increases in government spending and tax cuts to stimulate the global economy.

FOR THE SAKE OF OUR ECONOMY AND IT'S PEOPLE

For God sake, can this country called Nigeria ever be what our fore father, fallen heros and heroin dreamed of a better country for us all comes to reality?
Economy they says is the power of every nations under this sun when thing are striving well and the people of the land enjoy.
But not the case with my nation when what suppose to be the engine or the propeller of the economy is sabotage. The Nigeria power holding company living up to it wonderful name by crippling and holding and holding power meant for the improvement of the economy and the society as it's name been.
Nigeria's electric power sector requires substantial reform if the country's economic development and poverty alleviation program is to be realized. This understanding is behind the reform programmed recently initiated by the Nigerian government with the goal of privatizing the national electric power monopoly, NEPA.
Currently, the country faces serious energy crisis due to declining electricity generation from domestic power plants which are basically dilapidated, obsolete, unreliable and in an appalling state of disrepair, reflecting the poor maintenance culture in the country and gross inefficiency of the public utility provider. Building on an analysis of the major shortcomings of the current electric power company, this paper presents the central issues that should form the key objectives of the proposed reform.
This include corporatization of the electric power industry, increasing access and power delivery capacity, constraining the costs of the power industry and increasing efficiency and share of renewable in energy generation, as well as minimizing environmental damage. We conclude with the observation that efforts at reform will not yield the desired result if the current end-user inefficiency is not constrained.
As Nigeria implements its national utility privatization programmed, it is hoped that this review will benefit policy makers and emerging managers and providers of electricity service in the country.
Oh! NEPA abi na PHCN when will thou be stable!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

It is sad to see thousands of people go to bed hungry,while thier leaders spent money meant to provide basic needs of life to the people on irrelevant things.

sometimes it could on things that would eventually be inimical to the welfare of the people they lead.it is a shameful thing that some leaders do not what roles leaders ought to play when in such position.

leaders ought to show good examples to those lead,so that those coming behind can learn good virtues and make the society a better place.