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In September 1975, Mr. McNamara outlined in his address to the Governors of the Bank at their Annual Meeting a major new undertaking for the Bank—a program to help national governments alleviate poverty in the rapidly growing cities of the developing countries. This article, the second in the series, sets out the background to this major effort, outlines the basic strategy that has been developed, and reports on progress to date.
What about the flow of well-educated people from less developed countries to richer countries? The author puts forth the view that—sometimes at least—it alleviates social and economic stresses in some of the “losing” countries.
This paper highlights that 1977 was an eventful year for the IMF. Drawing on the IMF’s resources during 1977 totaled more than SDR 3.4 billion. These were accompanied by a record volume of repurchases, which reduced the total net drawings for the year to SDR 427 million. At the end of 1977, total net drawings on the IMF since its inception were equivalent to about SDR 15.5 billion. In 1977, the IMF also carried out its gold sales to members at SDR 35 per ounce under the IMF’s “restitution” program.
For the latest thinking about the international financial system, monetary policy, economic development, poverty reduction, and other critical issues, subscribe to Finance & Development (F&D). This lively quarterly magazine brings you in-depth analyses of these and other subjects by the IMF’s own staff as well as by prominent international experts. Articles are written for lay readers who want to enrich their understanding of the workings of the global economy and the policies and activities of the IMF.
The Economics of Demographics provides a detailed look at how the biggest demographic upheaval in history is affecting global development. The issue explores demographic change and the effects of population aging from a variety of angles, including pensions, health care, financial markets, and migration, and looks specifically at the impact in Europe and Asia. Picture This looks at global demographic trends, while Back to Basics explains the concept of the demographic dividend. Country Focus spotlights Kazakhstan, while People in Economics profiles Nobel prize winner Robert Mundell. IMF Economic Counsellor Raghuram Rajan argues for further change in India's style of government in his column, Straight Talk.
PHOTO; COURTESY OF RAJENDRA SINGH
For development projects to be successful, community involvement in constructing and maintaining them is essential. However, this involvement is not always easy to achieve. Where it does occur, the result is low-cost, community oriented development. This article examines a successful self-help program for improving rural water supply in Malawi—an experience that could be a guide for other developing countries.