At the insistence of the International Monetary Fund (IMF), the Haitian government had agreed to cut government subsidies on fuel which would have caused prices to increase by over half. Life is expensive enough in Haiti due to a lack of economic growth and dependency on imports. To reduce subsidies would have made life even costly when many struggle just to get by. The situation was very tense but has since calmed. Still, the IMF has yet again hurt Haiti by failing to promote policies that are pro-poor. The full article by Time journalist Billy Perrigo follows.
Immediately after the earthquake, the main source of information was Twitter, which I have a new respect for. Journalists and aid workers are arriving in Haiti and we are gaining a better sense of just how extensive the damage to Port au Prince is. We also know that Jacmel was seriously affected as well. Aid from the United States, other governments, and humanitarian responders both big and small is picking up. This is a summary of the current situation, who is doing what where, and how you can help. Additional updates will be posted as comments.
Jonathan Katz reported that the World Bank, IMF, and IDB canceled $1.2 billion of Haiti's debt Tuesday, freeing up millions of dollars for much needed poverty reduction programs. Needless to say, this is excellent news. Given the scope of Haiti's needs, it never made sense its citizens should have to pay $1.6 million in debt per month, most of which was acquired under dictators that they never voted for. This represents a measure of confidence in the Preval Administration, which now has a bit more economic flexibility than it had before. More info below.
UN Secretary-General Ban Ki-moon and former U.S. President Bill Clinton will visit Haiti March 9-10 to promote international aid for Haiti. According to UN Peacekeeping Chief Alain Le Roy, ''Clearly it's a fragile situation in Haiti. There are still lots of difficulties but we think Haiti is winnable." Also noteworthy is that a long awaited donor conference has been set for April 13-14 and will be chaired by the Inter American Development Bank. Expect food security to be an important part of these discussions.