NLC Urges IMF and World Bank to Halt Loans to Unaccountable Governments, Calls for End to Austerity Measures and Push for Fair Tax Policies to Protect the Poor
Washington D.C. – The Nigeria Labour Congress (NLC) has issued a sharp rebuke to the International Monetary Fund (IMF) and the World Bank (WB), demanding they cease lending to governments deemed unaccountable to their citizens. NLC President Joe Ajaero, speaking at a high-level meeting in Washington D.C., argued that such loans exacerbate governance crises and deepen debt and underdevelopment.
Ajaero criticized the institutions’ economic prescriptions, citing their role in worsening poverty and hindering Nigeria’s development. He urged the IMF and WB to abandon blanket austerity measures and instead support developing nations in crafting progressive tax policies that protect vulnerable populations.
In his presentation, “Progressive Taxation and Fiscal Consolidation,” Ajaero highlighted the regressive nature of current tax policies, particularly in Nigeria, where proposed bills target low-income earners. He condemned the continued lending to “profligate and dictatorial governments,” questioning whether it’s a deliberate strategy to trap nations in cycles of debt.
The NLC called for the IMF and WB to prioritize transparency, accountability, and workers’ rights, advocating for inclusive tax systems, wealth taxation, and the closing of tax loopholes for multinational corporations. They also supported the proposed UN Convention on Tax, aiming to address digital taxation and global tax frameworks. Ajaero emphasized that fiscal consolidation should not come at the expense of the poor, urging the institutions to focus on reducing social inequality and empowering nations to build equitable tax systems.
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 has issued a sharp rebuke to the International Monetary Fund (IMF) and the World Bank (WB), demanding they cease lending to governments deemed unaccountable to their citizens. NLC President Joe Ajaero, speaking at a high-level meeting in Washington D.C., argued that such loans exacerbate governance crises and deepen debt and underdevelopment.){kind=link}