RESULTS
Contact: Soren Ambrose - 50 Years Is Enough Network - 202/544-9355
Joanne Carter -
Results - 202/783-7100 x.109
HOUSE VOTE OPPOSES IMF & WORLD BANK ON "USER
FEES" FOR EDUCATION AND HEALTH IN POOREST COUNTRIES
Actress Valerie Harper calls IMF/World Bank
policies a "terrible tragedy"
In a landmark move, the U.S. House of Repre- sentatives
on Thursday approved a measure to pressure the International
Monetary Fund (IMF) and World Bank to stop requiring that
impoverished countries charge "user fees" for
access to primary health services and primary education.
The anti-user fees measure is included in the Foreign
Operations appropriations bill approved Thursday by the full
House. It was originally introduced as an amendment in
committee by Rep. Jesse Jackson, Jr. (D-IL), a staunch
advocate for debt cancellation and economic justice for
impoverished people around the world. This House action
represents the first time that Congress has required the IMF
and Word Bank to change the specific conditions they impose
in borrowing countries.
User fees, charges imposed for using a health clinic or
attending school, have led to increased illness, suffering
and death when people cannot pay for health services, and
decreased school enrollments when poor families can no
longer afford to send their children to school. In a tragic
example in Zambia quoted by UNICEF, a researcher observed a
14 year boy with acute malaria turned away from a health
clinic for want of a 33 cent registration fee. According to
the report, "within 2 hours, the boy was brought back
dead."
The requirement that the worldâs most impoverished
countries charge fees for primary health and education has
long been one of the most controversial features of the
austerity programs mandated by the IMF and World Bank.
Advocates for the abolition of the fees point to scores of
studies which demonstrate that their imposition forces a
societyâs most impoverished families to deny their
children basic education and their sick and dying health
care. [See end of press release for examples of research
findings.]
Although James Wolfensohn, President of the World Bank,
has contended in addressing members of Congress that the
Bank has abandoned user fee requirements, current documents,
such as the program for Tanzania linked to the granting of
limited debt relief, contradict his stance.
Under the provision adopted by the House, beginning in
2002, U.S. funding would be provided only when the heads of
the World Bank and IMF certify their institutions "will
not include user fees or service charges through Îcommunity
financing,â Îcost sharing, Î Îcost recovery,â or
any other mechanism for primary education or primary
healthcare, including prevention and treatment efforts for
AIDS, malaria, tuberculosis, and infant, child, and maternal
well-being" in any of their programs.
Actress Valerie Harper, a RESULTS Board member and one of
the leading advocates of abolishing user fees, argued to
members of Congress that charging the worldâs most
impoverished people for the basic health and education was a
"terrible tragedy." She pointed out, "I live
in one of wealthiest areas of the wealthiest country in the
world, and my daughter can attend Beverly Hills High School
for free. Meanwhile, women in the poorest countries of
sub-Saharan Africa are told they have
to come up with hard cash to send their kids to first grade
or see a doctor at a clinic. We must not accept this."
Njoki Njoroge Njehu, a Kenyan who directs the 50 Years Is
Enough Network, a coalition of U.S. groups opposing IMF and
World Bank policies, said, "This significant step by
the House brings closer the day when people throughout the
Global South will be able to decide on their own priorities.
We do not want to raise another generation on promises from
the IMF and World Bank that the sacrifice of their education
and health will be Îshort-term pain for long-term gain.â"
* * * * * * * * * * * *
Recent studies have revealed some of the damage done by
user fees imposed by IMF/World Bank structural adjustment
programs:
* In Kenya, introduction of a 33 cent fee for visit to
outpatient health centers led to a 52 percent reduction in
outpatient visits. After the fee was suspended, visits rose
41 percent.
* Introduction of user fees at rural clinics in Papua New
Guinea led to a decline of about 30 percent in attendance,
and although it subsequently increased it never returned to
pre-fee levels. Health workers also reported a reduction in
completion rates for courses of treatment.
* In Dar es Salaam, Tanzania the three public district
hospitals saw attendance drop by 53.4% between the second
and third quarters of 1994, when user fees were introduced.
* In Nicaragua, about a quarter of primary schoolchildren
have not enrolled in primary school since charges for
registration and a monthly stipend were introduced.
* In Niger, cost recovery measures implemented as part of
a structural adjustment program between 1986 and 1988 had
the following results: 1) a sharp decline in already very
low primary school enrollment rates: these went from 17% in
1978 to 28% in 1983 to 20% in 1988; 2) drop in utilization
of preventative care services; 3) increased exclusion of the
most impoverished from care at Niamey Hospital, where
outpatients who did not pay for care would wait an average
of 24 days before seeking care while an outpatient who did
have to pay for care would wait an average of 51 days; and
4) exemption systems that were applied to the benefit of
urban, military, and civil service families and not for the
intended beneficiaries (the most impoverished).
* UNICEF reports that in Malawi, the elimination of
modest school fees and uniform requirements in 1994 caused
primary enrollment to increase by about 50 percent virtually
overnight ö from 1.9 million to 2.9 million. The main
beneficiaries were girls. Malawi has been able to maintain
near full enrollment since that time.
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