The International Monetary Fund (IMF) released new proposals for preventing predatory hedge funds and hold-out investors from blocking debt restructurings. The paper proposes a series of reforms to debt contracts, including strengthened collective action clauses and a modification of the pari passu clause that hold-out hedge funds used to sue Argentina.

"In the wake of debt restructurings in Argentina and Greece, the IMF is incredibly concerned about vulture funds," stated Eric LeCompte, the Executive Director of the religious anti-poverty coalition, Jubilee USA Network. "The IMF is advocating a market approach, but we also need a statutory approach. We need to change both the contracts and the laws."

The reforms would not apply to existing sovereign bonds. The IMF proposal states that there may be a need for action on those bonds as well if the precedent set in Argentina vs. NML begins to impact other countries. The paper comes on the heels of a similar August proposal by the International Capital Market Association to deter disruptive predatory and hold-out behavior. The primary difference between the two proposals is that the IMF paper does not promote establishing creditor committees to reach agreements in the event of disputes.

"It's important that the IMF acknowledges a market approach might not be enough. This suggested approach would need to be comprehensive and won't have an impact for decades," said LeCompte, who serves on United Nations expert groups that seek to tackle these problems.

Jubilee USA Network is an alliance of more than 75 US organizations, 400 faith communities and 50 Jubilee global partners. Jubilee's mission is to build an economy that serves, protects and promotes participation of the most vulnerable. Jubilee USA has won critical global financial reforms and more than $130 billion in debt relief to benefit the world's poorest people. www.jubileeusa.org

"concerned about vulture funds" from the IMF?
Oh, now I see...OTHER vulture funds BESIDES the IMF.
They hate competition.

the IMF _is_ a predatory hedge fund

..so at best this corporate media fluff piece is window dressing to distract from what they're doing to nations like Argentina.

the IMF's express purpose is to fleece and strip the working class and their resources to enrich billionaires and support predatory capitalism's corporate criminals

and the leaked diplomatic cables explicidly point this out via real-world examples over & over again..

corporate media fluff pieces like this are a fucking joke and have no business on a so-called 'progressive' media space like this - except this ISN'T a real progressive media space, it's a foundation funded gatekeeper space set up to dominate the channels of information and crowd out true progressive voices and concerns

- and this is yet one more example of why the real world is flushing down the toilet, while we're distracted with fake media disinfotainment

Was hex just using this IMC to promote a colorful endorsement to abandon technology altogether?
Better living through better engineering, not stone age regression.

I don't see the phrase 'stone age' anywhere in that.

but I DO see RENEWABLES

..maybe your good buddies at exxon will be kind enough to point it out for us