(RealitiesWatch) There is a constant debate over the role and efficiency of the International Monetary Fund (IMF), a financial organization that was established to supposedly provide economic growth and stability to the governments. However, many criticize the IMF and believe that one of its main goals is to commit the governments to more borrowing programs in exchange to political and economic concessions.
In July 2013, Hungary’s head of the Central Bank asked the Managing Director of the IMF to close its representative office in Budapest, as it was “not necessary to maintain” it any longer. Within one month, Hungary succeeded to arrange early payment of the loan, saving €11.7 million worth of interest expenses.
The Western Mainstream Media claims that Hungary owes its economic survival to the IMF and the EU, when the country was suffering from the global financial crisis in 2008, ignoring the fact that it was the poor economic policies of the United States and the Western economies in general which forced countries like Hungary to borrow from the IMF and other Banks controlled by the Rothschild group, that makes millions of dollars of benefits from the interest rates paid by the poor and crumbling economies. By doing so, Rothschild extends its influence on the governments and literally controls them.
It is worth mentioning that Hungary borrowed from the IMF in the era of Prime Ministers Ferenc Gyurcsany and Gordon Banjani, but when Victor Orban came to power, he changed the constitution and decided to ease off austerity measures and prove that Budapest can do it without outside help.
Many people claimed that Orban’s policies were aimed to win the elections, accusing him of imposing “undemocratic” regulations on the country. However, the Regional Economic Issues report of the IMF in 2015 was compelled to acknowledge that Hungary’s economic growth could reach 2.7% this year comparing to 2.3% in 2014, and -0.1% in 2012.
In response to the IMF report, Hungary’s Minister of Economy, Mihaly Varga said that “more and more international think tanks and economic institutions were upgrading their forecasts on Hungary’ economic outlook.”
So Hungary escaped from the IMF’s grip and succeeded to revive its economy, encouraging other countries to follow Budapest’s steps, such as Iceland who joined the club of independent economies in 2014, by paying back its $400 million loan before the deadline, saving its economy from the deadly grip of international borrowing institutions.