Calls Grow to Reform Post-WWII Global Financial System Amid Climate and Inequality Crises
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The post-WWII economic framework centered around the IMF and World Bank needs updating to fit today's challenges like climate change, global inequality, and shifting geopolitics.
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Critics argue the system contributes to unstable and unfair outcomes, with excessive austerity and little voice for developing nations.
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Debt crises are increasingly complex with more creditors like China and private lenders, but no international legal process exists to resolve disputes.
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Loans with strict terms from institutions like the IMF can worsen crises, so some call for more grants and affordable financing for poor countries.
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Reform ideas like bankruptcy processes for countries or increased funding remain stalled by resistance from powerful economies seeking to preserve influence.