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Mr. McCreevy barely mentioned the debt issue in his speech to the IMF and World Bank AGM in Washington on Sunday 29 September. Most shocking of all:

• He made no reference to Ireland's new stance in favour of 100% debt cancellation
  
  
• He did not outline any of the serious criticisms of the Heavily Indebted Poor Countries' Initiative contained in the government's debt policy:
  
  a) that assessments of the debt reduction a country needs does not take human development into account;
  
  b) that the IMF/World Bank over estimate the likely growth rates in heavily indebted countries. This allows them to limit the amount of debt reduction they have to provide.

Minister Tom Kitt (responsible for Ireland Aid) launched the new debt policy which was jointly prepared by Ireland Aid and the Department of Finance in July. The Taoiseach affirmed Ireland's commitment to debt cancellation when he addressed the World Social Summit at Johannesburg in August.

Far from criticising the IMF and World Bank, Mr. McCreevy held them up as 'successes'. In meetings with campaign groups and NGOs, the World Bank was not claiming success Instead, officials were self critical admitting they had been wrong in the past in assuming they knew which policies were best for all countries.

IMF/World Bank Response to the Irish debt policy

When asked by Coalition representatives for their response to Irish government support for 100% debt cancellation, IMF and World Bank officials were dismissive. The IMF took Ireland's decision not to contribute to its programme in low income countries back in l996 much more seriously. This was because the then government communicated their decision and the reasons for it to the IMF. The current attitude of IMF/World Bank officials suggests that Mr. McCreevy has not instructed Irish representatives to the World Bank and IMF to vigorously promote the new Irish debt policy.

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