{"id":29248,"date":"2024-10-10T09:35:59","date_gmt":"2024-10-10T13:35:59","guid":{"rendered":"https:\/\/www.bu.edu\/gdp\/?p=29248"},"modified":"2026-03-20T15:00:41","modified_gmt":"2026-03-20T19:00:41","slug":"open-letter-to-the-international-monetary-fund-board-of-directors-on-the-need-for-significant-reform-of-the-rate-of-charge-and-surcharge-policies","status":"publish","type":"post","link":"https:\/\/www.bu.edu\/gdp\/2024\/10\/10\/open-letter-to-the-international-monetary-fund-board-of-directors-on-the-need-for-significant-reform-of-the-rate-of-charge-and-surcharge-policies\/","title":{"rendered":"Open Letter to the International Monetary Fund Board of Directors on the Need for Significant Reform of the Rate of Charge and Surcharge Policies"},"content":{"rendered":"
\"\"
International Monetary Fund, Washington, D.C. Photo by Samantha Igo.<\/figcaption><\/figure>\n

“Dear International Monetary Fund Board of Directors,<\/p>\n

This Friday October 11,\u00a02024, the International Monetary Fund (IMF) is expected to announce reforms to its policy on charges and especially surcharges, which levies extra fees on countries whose debts have surpassed certain size and time thresholds. We the undersigned urge the IMF to meaningfully reform its policies, especially on surcharges.<\/p>\n

Research shows<\/a> that IMF surcharges are procyclical and regressive, extracting higher lending rates and fees from countries during financial crises when they should be investing in their own recovery. For years, researchers and advocates have documented how the current surcharge policy prevents low- and middle-income countries from regaining financial stability, including by piling on higher borrowing, and preventing access to international markets. Surcharges increase the total potential annual interest rate imposed by the IMF to almost 8 percent. Moreover, the arguments put forward in defense of the surcharges have shown to have little if any validity<\/a>.<\/p>\n

We are concerned by reports that the IMF is not considering significant reforms that would remedy the flaws inherent in its surcharge policy. We fear that the IMF is instead contemplating insufficient half-measures. Tinkering at the edges will not help ensure global stability. The IMF itself projects that the number of countries paying surcharges will keep increasing. Already, 675 million people live in low- and middle-income countries whose taxpayers are projected to pay the IMF roughly $2 billion just in surcharges<\/a> every year for the next five years. Every one of those dollars is a dollar not spent on health, education and the clean energy transition. If the IMF Board maintains its current system of charging the taxpayers of already struggling, indebted countries extra surcharge fees, which cushion its general reserves, its members cannot expect that we will perceive the Fund as the steward of global financial stability that it was founded to be and confidence and trust in the Fund will diminish.<\/p>\n

Sincerely,<\/p>\n

Joseph Stiglitz<\/strong>, University Professor, Columbia University, Recipient of Nobel Memorial Prize in Economics, 2001<\/p>\n

Kevin Gallagher<\/strong>, Professor of Global Development Policy at the Frederick S. Pardee School of Global Studies at Boston University<\/p>\n

Jayati Ghosh<\/strong>, Professor of Economics at the University of Massachusetts Amherst, USA<\/p>\n

Martin Guzman<\/strong>,\u00a0Professor, Columbia University SIPA; former Minister of Economy of the Republic of Argentina<\/p>\n

Axel Kicillof<\/strong>, Governor of the Province of Buenos Aires, Argentina<\/p>\n

Mariana Mazzucato<\/strong>, Professor in the Economics and Innovation and Public Value, University College London<\/p>\n

Thomas Piketty<\/strong>, Professor, Paris School of Economics<\/p>\n

Haroon Akram-Lodhi<\/strong>, Professor of Economics, Global Justice and Development, Trent University, Peterborough, Canada<\/p>\n

Aaron Schneider<\/strong>, Professor, University of Denver<\/p>\n

Adebayo Adekunle Ademayowa<\/strong>, Associate Professor of Economics and Ag. Dean, College of Management and Social Sciences Education, Lagos State University of Education, Oto\/Ijanikin, Lagos State, Nigeria<\/p>\n

Agostina Costantino<\/strong>, CONICET, Argentina<\/p>\n

Alan B. Cibils<\/strong>, Universidad Nacional de General Sarminento<\/p>\n

Aldo Caliari<\/strong>, Senior Director of Policy and Strategy, Jubilee USA Network<\/p>\n

Alejandro Vanoli\u00a0C\u00e1tedra<\/strong>, Grupo F\u00e9nix, University of Buenos Aires Argentina<\/p>\n

Alicia Puyana Mutis<\/strong>, Economics Professor at FLACSO-M\u00e9xico<\/p>\n

Alice Sodano<\/strong>, Paris School of Economics<\/p>\n

Anamitra Roychowdhury<\/strong>, Jawaharlal Nehru University, New Delhi, India<\/p>\n

Andre Chiriboga<\/strong>, Science Po Paris<\/p>\n

Andres Arauz<\/strong>, Academic and Policy Researcher, Centre for Economic and Policy Research, Washington DC, USA<\/p>\n

Andrew Fischer,\u00a0<\/strong>Professor of Inequality<\/strong>, Social Protection and Development, Institute of Social Studies, Erasmus University Rotterdam<\/p>\n

Ann Pettifor<\/strong>, Director, Policy Research in Economics<\/p>\n

Arthur MacEwan<\/strong>, Professor Emeritus of Economics, University of Massachusetts Boston<\/p>\n

Avinash Persaud<\/strong>, Special Advisor to the President of IDB<\/p>\n

Barry Herman<\/strong>, Social Justice in Global Development<\/p>\n

Basil Oberholzer<\/strong>, Austria<\/p>\n

Brett House<\/strong>, Columbia School of Business<\/p>\n

Byasdeb Dasgupta<\/strong>, Kolkata India<\/p>\n

Carlo D\u2019Ippoliti<\/strong>, Sapienza University of Rome<\/p>\n

Carlos Lopes<\/strong>, Professor, Nelson Mandela School of Public Governance, University of Cape Town, and former Executive Secretary, UN Economic Commission for Africa<\/p>\n

Carolina Alves<\/strong>, Associate Professor of Economics at the UCL Institute for Innovation and Public Purpose<\/p>\n

Carmine Gorga<\/strong>, President, The Somist Institute<\/p>\n

Cecilia Rikap<\/strong>, Associate Professor of Economics & Head of Research, University of College London, Institute for Innovation and Public Policy<\/p>\n

Chang Kyung-Sup<\/strong>, PhD, SNU Distinguished Professor of Sociology, Seoul National University<\/p>\n

Christina Laskaridis<\/strong>, Professor, The Open University UK; University of Oxford<\/p>\n

CP Chandrasekhar<\/strong>, Research Director, International Development Economics Associates and Fellow, Political Economy Research Institute, University of Massachusetts Amherst<\/p>\n

Damon Silvers<\/strong>, Visiting Professor of Practice, Institute for Innovation and Public Purpose, University of College London and former Policy Director, AFL-CIO<\/p>\n

David Barkin<\/strong>, Distinguished University Professor, Universidad Aut\u00f3noma Metropolitana, Mexico<\/p>\n

Daouda Sembene<\/strong>, AfriCatalyst CEO and former IMF Executive Director<\/p>\n

D\u00e9bora M Nunes<\/strong>, Assistant Professor, Pasquale Monmouth University<\/p>\n

Devika Dutt<\/strong>, King\u2019s College London<\/p>\n

Dharam Ghai<\/strong>, Director, United Nations Research Institute for Social Development (Past)<\/p>\n

Dilli Raj Khanal<\/strong>, PhD, Founder Chairman\u00a0, Institute for Policy Research and Development (IPRAD)<\/p>\n

Eduardo Strachman<\/strong>, Associate Professor of Economics, S\u00e3o Paulo State University, Brazil<\/p>\n

Emilia Mill\u00f3n<\/strong>, Professor of Macroeconomic and Economics and Gender at Tucum\u00e1n University, fellow at ISES-CONICET and part of Espacio para la Equidad Fiscal (Space for Fiscal Equity) in Argentina<\/p>\n

Emmanuel Tweneboah Senzu<\/strong>, Professor of Law and Economics, Blackstone Africa-Asia Jurists Center, Sierra Leone, West Africa. Every Nation College Building Sima II<\/p>\n

Eric LeCompte<\/strong>, Executive Director, Jubilee USA Network<\/p>\n

Eva Joly<\/strong>, Lawyer, Paris Bar, ICRICT<\/p>\n

Fadhel<\/strong> Kaboub<\/strong>, President, Global Institute for Sustainable Prosperity<\/p>\n

Fayq Al Akayleh<\/strong>, Associate Professor of International Economics.<\/p>\n

Firat Demir<\/strong>, L.J. Semrod Presidential Professor of Economics, Co-Director,\u00a0Center for Peace and Development,\u00a0Senior Researcher & Co-Founder,\u00a0Security in Context<\/p>\n

Francis Cripps<\/strong>, Alphametrics Co., Ltd.<\/p>\n

Francisco Cantamutto<\/strong>, IIESS UNS-CONICET, Depto. Econom\u00eda UNS<\/p>\n

G.N. Nagaraj<\/strong>, Retired Professor, University of Karnataka<\/p>\n

Visakh Varma<\/strong>, Visiting Professor, M.E.S School of Architecture, Kuttippuram, Kerala State, India<\/p>\n

Gaston Nievas Offidani<\/strong>, Paris School of Economics<\/p>\n

Gerald Epstein<\/strong>, Professor of Economics, University of Massachusetts Amherst, USA<\/p>\n

Gerald Friedman<\/strong>, Professor of Economics, University of Massachusetts Amherst, USA<\/p>\n

Gertrude Dzifa Torvikey<\/strong>, Institute of Statistical, Social and Economic Research (ISSER), University of Ghana<\/p>\n

Giovanni Dosi<\/strong>, Professor, Sant-anna School of Advanced Studies, PISA<\/p>\n

Gilad Isaacs<\/strong>, Executive Director, Institute for Economic Justice.<\/p>\n

Giuseppe Tattara<\/strong>, Professor of Economics (emeritus), University of Venice, C\u00e0 Foscari, Italy<\/p>\n

Guillaume Long<\/strong>, Senior Research Fellow, Center for Economic and Policy Research<\/p>\n

Gustavo Indart<\/strong>, Professor Emeritus of Economics, University of Toronto<\/p>\n

Gustavo Beliz<\/strong>, Academician, The Pontifical Academy of Social Sciences<\/p>\n

Ha-Joon Chang<\/strong>, Research Professor of Economics, SOAS, University of London<\/p>\n

Hung Tran<\/strong>, Nonresident Senior Fellow, Atlantic Council<\/p>\n

Ignacio Silva Neira<\/strong>, PhD Student and Research Associate, Berlin School of Economics and Law & Executive Director of the Observatory of Economic Policies (OPES)<\/p>\n

Ilene Grabel<\/strong>, Distinguished University Professor, Josef Korbel School of Int\u2019l Studies, University of Denver, USA<\/p>\n

Ilias Alami<\/strong>, Assistant Professor in Political Economy, Cambridge University<\/p>\n

Irene Ovonji-Odida<\/strong>, ICRICT<\/p>\n

Irene van Staveren<\/strong>, Professor of Pluralist Development Economics, International Institute of Social Studies of Erasmus University Rotterdam<\/p>\n

Isabel Estevez<\/strong>, Oxford University<\/p>\n

Isabel Ortiz<\/strong>, Director Global Social Justice, IPD; former Director at United Nations\u2019 ILO and UNICEF<\/p>\n

Isabella M. Weber<\/strong>, Associate Professor of Economics, University of Massachusetts Amherst, USA<\/p>\n

Ishac Diwan<\/strong>, Professor American University of Beirut and Paris School of Economics<\/p>\n

Iyabo Masha<\/strong>, Director and Head of Secretariat, The Intergovernmental Group of Twenty-Four<\/p>\n

James K Boyce<\/strong>, Emeritus Professor, University of Massachusetts Amherst, USA<\/p>\n

James K. Galbraith<\/strong>, The University of Texas at Austin<\/p>\n

James Heintz<\/strong>, Professor of Economics, University of Massachusetts Amherst, USA<\/p>\n

John Miller<\/strong>, Professor of Economics, Wheaton College, Norton, MA 02766<\/p>\n

Jorge Forero<\/strong>, Latin American Faculty of Social Sciences (Ecuador)<\/p>\n

Jorge Garcia-Arias<\/strong>, PhD, Full Professor, International Political Economy & Global Development Studies, University of Leon (Spain)<\/p>\n

Jorge Remes Lenicov<\/strong>, Former Minister of Economy, Republic of Argentina<\/p>\n

Jose Antonio Ocampo<\/strong>, Columbia University<\/p>\n

Jos\u00e9 Gabriel Palma<\/strong>, University of Cambridge and University of Santiago de Chile<\/p>\n

Juan Pablo Bohoslavsky<\/strong>, Researcher, National Scientific and Technical Research Council of Argentina (CONICET)<\/p>\n

Jude Onemolease<\/strong>, Market Systems Leader, Durandel Market System Development (DuraLab), Durandel Ltd, Nigeria<\/p>\n

Jwala Rambarran<\/strong>, Senior Policy Advisor, Caribbean Policy Development Centre<\/p>\n

Kate Donald<\/strong>, Head of Washington D.C. Office, Oxfam International<\/p>\n

K.N.Harilal<\/strong>, Chairman, State Finance Commission, Kerala, India<\/p>\n

Kathleen McAfee<\/strong>, Professor Emerita, International Relations, San Francisco State University<\/p>\n

Kim Jacinto-Henares<\/strong>, Commissioner, ICRICT<\/p>\n

Kofi Takyi Asante<\/strong>, Institute of Statistical, Social and Economic Research (ISSER), University of Ghana<\/p>\n

Kunibert Raffer<\/strong>, Associate Professor, University of Vienna<\/p>\n

Lance Patrick Vicher<\/strong>, Research Assistant, Institute for Nationalist Studies<\/p>\n

Laura Carvalho<\/strong>, Open Society Foundations and University of Sao Paulo<\/p>\n

Laurie Joshua<\/strong>, Consultant Economist, Labour and Social Protection (World Bank, EU, UN)<\/p>\n

Leandro M. Bona<\/strong>, Researcher and Assistant (CONICET, UNLP, FLACSO-Argentina)<\/p>\n

Lee Badgett<\/strong>, Professor Emeritrix of Economics, University of Massachusetts Amherst, USA<\/p>\n

Leonardo E. Stanley<\/strong>, Associated Researcher at CEDES \u2013 Argentina<\/p>\n

Leonce Ndikumana<\/strong>, Distinguished Professor of Economics, University of Massachusetts Amherst<\/p>\n

Linda J. Bilmes<\/strong>, Daniel Patrick Moynihan Senior Lecturer, Harvard Kennedy School<\/p>\n

Abul Kalam Azad<\/strong>, Doctoral Candidate, Natural Resources\u00a0Institute, University of Manitoba, Canada<\/p>\n

Machiko\u00a0Nissanke<\/strong>, Professor (Emeritus), SOAS, University of London<\/p>\n

Magdalena Sepulveda Carmona<\/strong>, Executive Director; Global Initiative for Economic, Social, and Cultural Rights (GI-ESCR)<\/p>\n

Maia Colodenco<\/strong>, Director of Global Initiatives, Suramericana Vision<\/p>\n

Malik Owusu Antwi <\/strong>(Rev), Executive Director, Blessed Pan-African Youth For Rural Development<\/p>\n

Manuel F. Montes<\/strong>, Senior Advisor, Society for International Development<\/p>\n

Marcelo Sanchez Sorondo<\/strong>, Bishop of Vescovio, Former Professor of History of Philosophy at Lumsa University (Rome) and Chancellor of the Pontifical Academy of Sciences and Social Sciences<\/p>\n

Marilou Uy<\/strong>, Non-Resident Senior Fellow, Boston University Global Development Policy Center<\/p>\n

Marina Zucker Marques<\/strong>,\u00a0Senior Academic Researcher for the Global Economic Governance Initiative, Boston University<\/p>\n

Mark Weisbrot<\/strong>, Co-Director, Center for Economic Policy Research, Washington DC<\/p>\n

Maria Victoria Murillo<\/strong>, Professor, Columbia University<\/p>\n

Martin Lousteau<\/strong>, Senator and Former Minister of Economy of the Republic of Argentina<\/p>\n

Mat\u00edas Vernengo<\/strong>, Professor of Economics, Bucknell University, New Palgrave Dictionary of Economics, Editor in Chief<\/p>\n

Matti Kohonen<\/strong>, Director, Financial Transparency Coalition<\/p>\n

Michael Ash<\/strong>, Professor of Economics, University of Massachusetts Amherst, USA<\/p>\n

Michael Galant<\/strong>, Senior Research and Outreach Associate, Center for Economic and Policy Research<\/p>\n

Michael Pettis<\/strong>, Carnegie Endowment<\/p>\n

Mona Ali<\/strong>, State University of New York<\/p>\n

Muneer Babu M<\/strong>., Assistant Professor of Economics, University of Calicut<\/p>\n

Mwangi wa Githinji<\/strong>, Professor of Economics, University of Massachusetts Amherst, USA<\/p>\n

Narender Thakur<\/strong>, University of Delhi<\/p>\n

Ndidi Okonkwo Nwuneli<\/strong>, President & CEO, The One Campaign<\/p>\n

Neva Goodwin<\/strong>, Boston University and Tufts University<\/p>\n

Odd Hanssen<\/strong>, Tax and Health Specialist, UNDP-Sustainable Financing Hub<\/p>\n

Pasquale De Muro<\/strong>, Professor, Dept. of Economics, Roma Tre University (Italy)<\/p>\n

Patricia Fahy<\/strong>, Assemblymember, New York State Assembly<\/p>\n

Patricia Miranda<\/strong>, LATINIDAD<\/p>\n

Paul Robert Gilbert<\/strong>, Senior Lecturer in International Development, School of Global Studies, University of Sussex<\/p>\n

Paul Shaffer<\/strong>, Professor,\u00a0Dept. of Global Justice & Development, Trent University, Canada<\/p>\n

Pete Vechsuruck<\/strong>, Assistant Professor of Economics, University of Rhode Island, USA<\/p>\n

Sudarshan<\/strong>, Professor & Dean, Jindal School of Government and Public Policy (JSGP), O.P. Jindal Global University, Sonipat, 131001, Haryana, India<\/p>\n

Rajani Nagesh Tadimalla<\/strong>, Researcher and Author<\/p>\n

Rasigan Maharajh<\/strong>, PhD. MASSAf. Chief Director: Institute for Economic Research on Innovation, Tshwane University of Technology, RSA<\/p>\n

Ravi Bhandari<\/strong>, Professor of Economics at Institute for New Economic Thinking and Chevron Chair of Development at Saint Mary\u2019s College in California<\/p>\n

Raza Werner, Director<\/strong>, Austrian Foundation for Development Research (\u00d6FSE)<\/p>\n

Reza Baqir<\/strong>, Former Pakistan Central Bank Governor<\/p>\n

Ricardo Martner<\/strong>, Economist, ICRICT<\/p>\n

Richard Kozul-Wright<\/strong>, SOAS University of London and former Director, Division of Globalization and Development Strategies, UNCTAD Geneva<\/p>\n

Roos Saalbrink<\/strong>, Global Lead on Economic Justice and Public Services at ActionAid International and Senior Atlantic Fellow for Social and Economic Equity<\/p>\n

Sara Jane Ahmed<\/strong>, Managing Director & V20 Finance Advisor, CVF-V20 Secretariat<\/p>\n

Sattwick Dey Biswas<\/strong>, Independent Researcher, Volunteer & Coordinator of History of Economic Thought Working Group, INET\u2019s Young Scholars Initiative<\/p>\n

Sa\u00fal Escobar Toledo<\/strong><\/p>\n

Saul N. Keifman<\/strong>, Professor\/Researcher, Instituto Interdisciplinario de Econom\u00eda Pol\u00edtica de Buenos Aires<\/p>\n

Sayak Chakraborty<\/strong>, Student of Economics<\/p>\n

Sebastian Ceria<\/strong>, President, Fundar<\/p>\n

Serah Makka<\/strong>, Executive Director, Africa, The One Campaign<\/p>\n

Sergio Cesaratto<\/strong>, full professor, Department of Economics and Statistics, University of Siena<\/p>\n

Smitha Francis<\/strong><\/p>\n

Sonal Raghuvanshi<\/strong><\/p>\n

Stefano Zamagni<\/strong>, Professor, University of Bologna and Pontifical Academy of Social Sciences<\/p>\n

Syed Saddam Ali<\/strong>, Research Scholar, Department of Economics, Vidyasagar University.<\/p>\n

Thomas Selemane<\/strong>, Wits School of Governance, Johannesburg, South Africa<\/p>\n

Valpy Fitzgerald<\/strong>, Professor, University of Oxford<\/p>\n

Vamsi Vakulabharanam<\/strong>, Professor of 104. Vicente Merrill Cifuentes<\/p>\n

Wogayehu Abele<\/strong>, Researcher, South Agricultural Research Institute, Ethiopia.<\/p>\n

Yavuz Ya\u015far<\/strong>, Profesor of Economics, University of Denver<\/p>\n

*<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"

“Dear International Monetary Fund Board of Directors, This Friday October 11,\u00a02024, the International Monetary Fund (IMF) is expected to announce reforms to its policy on charges and especially surcharges, which levies extra fees on countries whose debts have surpassed certain size and time thresholds. We the undersigned urge the IMF to meaningfully reform its policies, […]<\/p>\n","protected":false},"author":19363,"featured_media":29249,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[398,156,1],"tags":[4065,459,4566,772,412,396,4469,4567,4565,2863],"_links":{"self":[{"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/posts\/29248"}],"collection":[{"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/users\/19363"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/comments?post=29248"}],"version-history":[{"count":9,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/posts\/29248\/revisions"}],"predecessor-version":[{"id":32566,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/posts\/29248\/revisions\/32566"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/media\/29249"}],"wp:attachment":[{"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/media?parent=29248"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/categories?post=29248"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bu.edu\/gdp\/wp-json\/wp\/v2\/tags?post=29248"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}