Excerpt:
The
United States and 15 developed countries control 52 percent of voting
rights at the IMF, leaving 48 percent for the 168 other member
countries. China, now the world’s biggest economy, has only 3.8 percent
of voting power — that’s a smaller share than those of the UK, France,
Germany, or Japan. Brazil, South Korea, and Mexico each enjoy less
voting power than tiny Belgium.
Despite much protest from the BRICS and other developing economies,
they’ve received just 6 percent more voting power over the last 20
years. The proportions and trends have been roughly the same at the
World Bank.
The United States and the Europeans have also held tightly to what’s
been characterized as their “feudal” prerogatives of filling the World
Bank presidency with a U.S. citizen and the managing director post at
the IMF with a European.
With some 17 percent of the vote in both institutions, the United
States also exercises veto power over key policy decisions. To show that
it didn’t want to replicate the Americans’ behavior at the World Bank,
Beijing announced that despite its contribution of the largest share of
capital to the AIIB, it would
not demand veto power over policy decisions.
Read full article here:
http://fpif.org/chinas-offering-a-world-bank-alternative-and-u-s-allies-are-signing-up/
