House of Paine

chad bitten by double team World Bank-Exxonomics

here's how

the world bank
works with its trans nat..sponsors



============================================



NYT:

"  ...reality under a World Bank-supported program 
that was supposed to harness 
this impoverished African nation's 
oil wealth "

 PROCEEDS ARE EARMARKED 

"for the benefit of Chad's poorest citizens"


background:


" A $4.2 billion oil pipeline
 has generated $399 million
 for Chad since mid-2004"

by the way a piss poor deal ...

"the spending of the money 
has been seriously marred
 by mismanagement,
 graft and, most recently,
 the government's decision 
that a hefty share can be used 
to fight a rebellion " 

" Chad seriously weakened a law 
that dedicated most of its oil revenue 
to reducing poverty
 and reneged on its deal
 with the World Bank. 
In response, the bank suspended 
all its loans to the country"

notice first what the nyt sez is at stack here 

"What is happening in Chad
is an important test
 of the idea that international institutions
 like the World Bank
 can influence governments
 of poor countries 
to spend newly tapped riches 
on their people
 instead of using the money
 to further entrench themselves in power" 

dramatic complication:

" with the recent   oil prices surge
 nations like Chad can attract
 investors who make few or no demands 
on how the profits are spent "

read here.....china 
 

"High-level talks in Paris 
to resolve the crisis with Chad 
ended inconclusively this month
 though World Bank officials
 still hope for a settlement 
that preserves the government's promise 
to use its oil money to build schools
, clinics and roads 
rather than to support an army 
that has recently experienced 
a rash of defections among rebellious officers"


" sub saharan  Africa 
is in the midst of an oil boom,..." 

"Billions of dollars 
have been invested in new production capacity
 much of it to feed a thirsty American market"

--------- try thirsty us trans nats ---------------


"But the United States also faces 
fierce competition for Africa's oil
 from countries like China, Taiwan, India and Malaysia"

--------- enter the dragon
with a few decoys to make it look fair minded 
i love malasia espoecially
but taiwan ..nice touch -------------- 

"From Angola to Nigeria, Gabon to Sudan,
 riches from oil have often ended up
 in the pockets of the ruling elite
inciting conflict over the spoils"



"Chad has been ranked with Bangladesh 
at the world's two most corrupt countries
 by the corruption watchdog Transparency International"



. 

 



"Chad has demanded 
that the consortium led by Exxon Mobil
 that built the pipeline 
begin depositing the oil royalties 
directly in the country's central bank 
rather than an account designated
 in its agreement with the World Bank."

 "Chadian officials said 
they were prepared to "close the faucets"
 of the oil pipeline 
if no settlement was reached" 

"Exxon, responding to written questions,
 said only that it hoped 
that the bank and Chad 
could address Chad's financial distress
 while preserving the poverty-reduction framework" 

"The Exxon-led consortium 
was willing to build the 665-mile pipeline
 from landlocked Chad to the sea 
only with the World Bank's backing"

" With Chad's history of civil war,
 ethnic strife and corruption,
 its oil lay untapped for decades
 because no one was willing 
to put capital at risk here" 

"In 2000, the bank approved the project 
and lent Chad $37 million
 for its stake in the pipeline,
 while its finance agency 
lent the companies building
 the pipeline $100 million.
 Their support was conditioned 
on Chad's commitment to adopting 
a law requiring that most of the oil revenue 
go to poverty alleviation " 

"The royalties were to be deposited 
in an offshore account
 and an independent oversight committee
 was to vet, approve and monitor all spending" 

 


 



"The largest amount of money — 
 $48 million has been assigned 
to a partnership formed between
 a foreign construction company 
and a company led by President Déby's brother
 Daoussa Déby
 according to the oversight committee"


 


 


. 


" another oil project just over the border 
in Sudan had been undertaken by a consortium
 led by China 
with no controls on how the government
 spends the money" 


"Without the World Bank, 
we would be in an even bigger disaster,"
 said Boukinebe Garka,
 a labor union leader.
 "Someone else would have built the pipeline,
 and then we would be 
in the same situation as Angola or Sudan.
 At least now we have some control,
 even if it is not perfect 
or even very good. It is a start."


-------------- my lord what an advert 
 for the trans nat/world bank fig leaf
 for a raw  china keep away game --------------