Haiti stuck in a "vicious circle," says IMF economist

Haiti stuck in a "vicious circle," says IMF economist

Amid the current global turmoil, one country that's definitely no stranger to crises is Haiti. Haitians will surely feel the pinch of rising prices of things like food and fuel, International Monetary Fund economist Nicole Laframboise says during a Global Stage conversation with GZERO Media in partnership with Microsoft.

With more than 60% of the population under the poverty line and food inflation up 40%, it's going to be "extremely difficult for the poor," she told Shari Friedman, Eurasia Group's Managing Director for Climate and Sustainability.

Haiti didn't suffer as much from the economic shock of the pandemic as other countries because it doesn't trade much nor have a big tourism sector.


But recently the much wider concern has been what Laframboise describes as "homegrown" political instability — which undermines the ability of the government and of the IMF to provide advice on macroeconomic policy.

"It's hard. It's hard for them, and it's hard ... for us." So, what do countries like Haiti do when they can't borrow money to pay for food when it gets more expensive?

They often have no choice but to print money, which makes inflation rise even more.

"It's kind of like a vicious circle," says Laframboise, "but we are working with the authorities to help them break out of this circle."

This interview was part of a series of Global Stage interviews with international thought leaders at the World Bank and IMF spring meetings. Watch the Global Stage livestream with several of these thought leaders here.

More from Global Stage

How to tackle global challenges: The IMF & World Bank blueprint

How to tackle global challenges: The IMF & World Bank blueprint

The International Monetary Fund and World Bank’s Spring Meetings in Washington have told a tale of two economies: In the developed world, inflation is falling, and recession looks unlikely. But many of the world’s poorest countries are struggling under tremendous debt burdens inflated by rising interest rates that threaten to undo decades of development progress. That means these key lenders of last resort have their work cut out for them. But according to GZERO Senior Writer Matthew Kendrick, there's a proven model.

World Bank announces plan to bring power to 300 million in Africa

World Bank announces plan to bring power to 300 million in Africa

During the World Bank's annual Spring Meetings this week, the group announced a major new initiative to provide electricity to 300 million Africans by 2030. It is estimated that nearly 800 million people globally lack access to power, and the vast majority of them, 600 million, live on the African continent. GZERO’s Tony Maciulis met with the World Bank’s Director of Infrastructure for West Africa Franz Drees-Gross, to discuss the project's details.

AI at the tipping point: danger to information, promise for creativity

AI at the tipping point: danger to information, promise for creativity

Artificial intelligence is on everyone's mind these days. The potential for AI to mess up democracy is scary, but the truth is that it can also make the world a better place. So, are bots good or bad for us? We asked a few experts to weigh in during the Global Stage livestream conversation "Risks and Rewards of AI," hosted by GZERO in partnership with Microsoft at this year's World Economic Forum meeting in Davos, Switzerland.

How to protect elections in the age of AI

How to protect elections in the age of AI

GZERO Media, on the ground at the 2024 Munich Security Conference, held a Global Stage discussion on Feb. 17 entitled “Protecting Elections in the Age of AI.” We spoke with Brad Smith, vice chair and president of Microsoft; Ian Bremmer, president and founder of Eurasia Group and GZERO Media; Fiona Hill, senior fellow for the Center on the United States and Europe at Brookings; Eva Maydell, an EU parliamentarian and a lead negotiator of the EU Chips Act and Artificial Intelligence Act; Kersti Kaljulaid, the former president of Estonia; with European correspondent Maria Tadeo moderating. These thought leaders and experts discussed the implications of the rapid rise of AI amid this historic election year.

Half the world can’t access healthcare. How can the World Bank help?

Half the world can’t access healthcare. How can the World Bank help?

Globally, a shocking 4.5 billion people — more than half the world’s population — lack access to essential healthcare and another 2 billion have to make tough financial choices to find care. That means for the majority of people on earth when a child is sick, families can’t get medicine; when a mother gives birth, the delivery is unsafe; when people develop chronic conditions, they go untreated.

World Bank economist: The poorest are getting poorer globally

World Bank economist: The poorest are getting poorer globally

The combined shocks of multiple crises, including the pandemic, wars in Ukraine and the Middle East, food insecurity, and inflation, have taken a massive toll on the 75 least developed economies, according to World Bank Group’s Deputy Chief Economist Ayhan Kose.

Digital Equity