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Extra resources for Advancing Governance in the South: What are the Roles for International Financial Institutions in Developing States? (International Political Economy)
The study attempts to develop a broader and more inclusive understanding, bridging the gap between politics and economics and global and domestic politics, concentrating on the role of the IFIs in politically sensitive reforms in developing countries and the dynamics of social relations between external and local actors. It thus brings to the fore new questions related to the relationships of global institutions with domestic politics in borrowing countries. These relationships are analysed in an extensive way, including not only the borrowing governments but also the local experts and other civil society organizations, whose political and normative stands as well as their access to material resources can also enhance or hinder the power of international institutions like the World Bank and the IMF to advance reforms.
Equally, terms of trade in the region have beneﬁted by raising demands in new centres of global power such as China and India (Chandrasekhar and Ghosh 2008: 8; also Chapter 7 in this book). The ﬁnancial and trade opportunities that the ‘new globalizers’ bring is unquestionably important to the emergence of power dynamics as they support and encourage new conﬁgurations of social relations, relations of production and a new space for an ideological redeﬁnition. 28 Advancing Governance in the South This brings to question not only the relevance and effectiveness of the IFIs but more importantly the extent to which new actors in the developing world can become the platform for dissent from the global rule.
Global developments change the policy preferences of some actors, increase the bargaining power of others and open up new institutional options for still others. 32 Advancing Governance in the South Indeed, a realization of the power of local actors in development, and most radically in crisis management, is at last beginning to ﬁlter into the IFIs themselves, where it is increasingly argued that engaging and networking with local actors can help to institutionalize effective policies (Levy and Kpundeh 2004).