Latin America Starting To Throw Off IMF Yoke

It looks like South America is beginning to emerge from under the thumb of the International Monetary Fund and foreign corporations. For many years the IMF kept South Americans in abject poverty while funneling millions of dollars into the pockets of foreign (mostly Western) banks and corporations.

On May Day, President Hugo Chavez of Venezuela announced that his country is nationalizing oil and gas holdings in his country. Huge corporations like Exxon Mobil, Chevron, BP, ConocoPhillips, Statoil and Total will be losing their holdings in the South American country. Some of these companies will be paid for their holdings, and some may not be paid. None of them will receive what they consider their value to be.

Chavez also says his country will be withdrawing from the International Monetary Fund. He has said he wants to start a Bank of the South, which would help build projects in South and Central America. The bank would be backed by Venezuelan oil funds.

Following the lead of Venezuela, Bolivia and Nicaragua are also saying they will probably withdraw from the IMF. Bolivia has also nationalized its oil resources, and is in the process of doing the same with its telecom industries.

These are just the opening volleys. Once the other South and Central American countries see the independence achieved by these countries, and see them start to alleviate the poverty caused by the IMF, they will begin to do the same themselves.

This is a good thing to see. The IMF and foreign corporations have devastated Latin America for far too long.