FoE sign-on on global financial architecture

[Robert Weissman <rob@essential.org>]

Friends of the Earth US is asking groups to sign on to the following
letter, which is addressed to the G-22 and deals with the timeframe for a
review on the "global financial architecture." Please send signatures,
questions and comments to Carol Welch of Friends of the Earth
<cwelch@foe.org>, NOT to stop-imf.

Robert Weissman
Essential Information			|   Internet:	rob@essential.org


							October 26, 1998

To the Group of 22 Secretariat: 

	The global economic crisis that has unfolded in the past year in
Asia, Russia, and now Brazil, has underscored the need to reform the
"global financial architecture."  It is also clear that financial crises
have significant spillover effects and serious negative ramifications on
major sectors of society, including the poor, workers, women, and the
environment.  It is therefore important that non-governmental
organizations (NGOs) and civil society have an opportunity to influence
the proposals for a new global financial architecture. 

	The undersigned x non-governmental organizations (NGOs), from x
countries around the world, wish to express our concern with the current
process by which the Group of 22 (G-22) nations has set about reforming
the global financial architecture.  We urge these countries to enable
civil society participation in the reform of the global economic system.

	While we appreciate the fact that the three G-22 working group
papers have made publicly available and are posted on the Internet, the
timeframe for comment on the reports is inadequate.  The process of
reforming the global financial architecture is a complex task, and will
require detailed thinking about the full range of proposals.  With the
reports only recently released, a deadline of end October 1998 does not
provide enough time for NGOs and other representatives of civil society to
comment on the content of the reports.  We urge you to extend the deadline
to end December 1998. 

	In addition, the secretive and exclusive nature of the membership
of the G-22 "systemically significant economies" also raises concerns. 
While the six chairs of the working groups are listed on the October 2,
1998 cover letter to the reports, the makeup of the rest of the group and
who they represent is not immediately clear.  It is very difficult to
influence the process when the countries and authorities involved are not
up front about their participation.  Furthermore, the undemocratic
representation of the group is a serious problem.  In particular, the
absence of poor country representation must be remedied. 

	We strongly urge you to extend the timeframe for comment and to
proactively engage and consult with civil society throughout the world in
the design of the new global financial architecture.


							Sincerely,



Carol Welch International Policy Analyst Friends of the Earth 202-783-7400
x. 237