Members of the International Monetary Fund today voted overwhelmingly to approve a controversial package of reforms that will give greater power and imporatance in the IMF to China and three other countries. The changes will see China’s share of the votes in the IMF rise from the present 2.98% to 3.719%, with the shares of South Korea, Turkey and Mexico also rising by similarly small amounts.
Although the amounts seem insignificant, the IHT described the moves as "a swing in the global order" and Henry M. Paulson Jr., US Treasury secretary was quoted as saying “It looks like a small step forward, but it’s a large step". Not everyone was happy with the decision, though, with India dismissing as "flawed" the entire process of reform.
The Western powers, however, have agreed to support China’s expanding role in the hope that the increased power will force China to become more responsible in the way it gives handouts to other countries. China’s influence as an international donor is growing, but in keeping with the stated dictums of its foriegn policy - ‘A Peaceful Rise’ and ‘Non-interference’ - its donations are notably free of the ethical clauses that accompany Western contributions. Such catch-free handouts are welcomed by certain states that have become pariahs in the west. The list of countries that have benefitted from Chinese donations raises eyebrows: Zimbabwe, Sudan and Myanmar are just three of the countries depending on charity from Beijing to stay afloat.
On a related note, the military junta in Myanmar today expressly thanked China for its support in opposing a resolution in the UN Security Council to formally list Myanmar on the council’s agenda. The resolution was passed last Friday by 10 votes to 4. The dissenters were China, Russia, Qatar and Congo.
