WHY am I in Washington? To learn more, collaborate, and share expertise for the creation of better solutions to Poverty Reduction.
In July 2018, the IMF approved a $96 million dollar loan to Haiti with 2 conditions;
(1) Haiti was to stop providing fuel subsidies, and
(2) Do a better job of collecting taxes from citizens.
In addition, Haiti was make improvements in infrastructure, education, and medical care. This sounds great right? Keep reading.
“Haiti’s Prime Minister Resigns after riots over fuel price hike” – NPR July 15, 2018.
“Haiti gives the IMF a fresh lesson in the value of subsidies” – TIME Magazine July 19, 2018.
The IMF made decisions from a country report on Haiti aimed at reducing poverty and accelerating economic growth. The report impressed ideals that were not consistent with economic realities in the country. The result was the resignation of their Prime Minister along with 18 cabinet members, amidst public riots.
Offer Haiti a loan distributed in installments for the building of better infrastructure, neighborhood medical centers, and educational facilities. Use professional construction services to oversee and train as many local workers as possible; foundation & framing, electrical wiring, pipes & sewage systems, etc. Continue training for locals in building maintenance, landscaping, cleaning, staffing, and program development where needed. Haitians would then be better abled to afford gradual fuel increases, and be more willing to pay their taxes.
The U.S. spent approximately 4 trillion dollars on foreign aid in 2017, still there are more than 1.3 billion people living in extreme poverty. The U.S. spent 1,054 billion dollars on domestic aid in 2018, still there are more than 43.1 million people living in poverty in America, with another 60 million living “nearly” in poverty.
We can do better with spending and the development of effective programs for the poor.