The Managing Director of the International Monetary Fund (IMF) Christine Lagarde, has told deprived countries to stop using global consultancy firms to write development strategies.
She mentioned inefficient spending on consultants for criticism at an event about funding the sustainable development goals at the World Economic Forum (WEF) in Davos, Switzerland.
Mad. Lagarde even asked any representatives of “the McKinseys and Boston Consulting Groups” and any other consultancy firms in the room to listen to her as she delivered an uncomfortable message about their work.
The former French government minister said low-income and emerging-market economies had to provide more revenue themselves domestically and cut expensive projects and corruption.
She insisted the private sector had a major role to play if deprived countries were to ever achieve the 17 development goals set by the UN.
The comments may cause squabble not only in the consultancy industry, but also among fault finders of the IMF itself.
The fund has dishonored reputation in many parts of the world for its heavy-handed promotion of free-market reforms in indebted countries over the past few decades.
The sight of a senior IMF personnel now advising developing countries to cut down on their use of imported private sector expertise may cause awareness.
STORY BY: NANA AKUA FREMAH/BUSSINESS DESK