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The Washington congresswoman -- a vocal critic of the IMF -- also noted that "last year, only four of the 27 EU nations cut government spending."


McMorris Rodgers praises IMF for withholding funds from Spain bailout

The Washington congresswoman — a vocal critic of the IMF — also noted that “last year, only four of the 27 EU nations cut government spending.”

Perhaps because of the increasingly vocal calls of Republican House Members for rescinding the extra $100 billion voted the International Monetary Fund at President Obama‚??s urging in 2009, the IMF announced recently it would not participate in the $125 billion eurozone bailout of Spain.

The leader of the movement on Capitol Hill to rescind the $100 billion and have greater scrutiny of the IMF could not be more pleased. In a letter Friday June 29 to IMF Managing Director Christine LaGarde, Rep. Cathy McMorris Rodgers (R-Wash.) conveyed strong thanks to her for withholding IMF funds ‚??and thereby U.S. tax dollars in the recent eurozone bailout of Spain.‚?Ě

McMorris Rodgers, vice chairman of the House Republican Conference and liaison to the House for presumptive Republican presidential nominee Mitt Romney, wrote LaGarde of her concern that Spain, the world‚??s 12th largest economy, is getting a $125 billion bailout from sister eurozone nations ‚??without the condition that it make the tough decisions to reduce spending and borrowing.‚?Ě

Noting that ‚??last year, only four of the 27 EU nations cut government spending‚?Ě and that Greece — the beneficiary of a bailout package from the IMF, the European Central Bank, and the European Union — ‚??cut a mere six percent of its budget and continues to run a deficit worth 10 percent of its economy,‚?Ě McMorris Rodgers also pointed to the national debt in Italy, Spain, and France, which ‚??continues to increase.‚?Ě She took a not-so-subtle whack at France‚??s recently-elected Socialist President Francois Hollande, whose government ‚??has actually lowered the retirement age from 62 to 60, adding untold billions to the nation‚??s liabilities. Given the IMF‚??s tremendous financial commitment to the EU, all of these countries should be cutting spending and balancing their budgets.‚?Ě

The IMF decision to withhold funding from the bailout to save teetering banks in Spain came, interestingly, as German Chancellor Angela Merkel softened her staunch commitment to austerity and spending to give Spain’s Prime Minister Mariano Rajoy the ‚??no strings attached‚?Ě bailout he was desperately seeking.

McMorris Rodgers, the author of the legislation to rescind the Obama-encouraged extra $100 billion to the U.S.‚??s IMF commitment, wrote LaGarde that her organization‚??s decision ‚??reinforces my belief that you are taking the IMF in a better direction.‚?Ě

Written By

John Gizzi has come to be known as ‚??the man who knows everyone in Washington‚?Ě and, indeed, many of those who hold elected positions and in party leadership roles throughout the United States. With his daily access to the White House as a correspondent, Mr. Gizzi offers readers the inside scoop on what‚??s going on in the nation‚??s capital. He is the author of a number of popular Human Events features, such as ‚??Gizzi on Politics‚?Ě and spotlights of key political races around the country. Gizzi also is the host of ‚??Gizzi‚??s America,‚?Ě video interviews that appear on Gizzi got his start at Human Events in 1979 after graduating from Fairfield University in Connecticut and then working for the Travis County (Tex.) Tax Assessor. He has appeared on hundreds of radio and TV shows, including Fox News Channel, C-SPAN, America's Voice,The Jim Bohannon Show, Fox 5, WUSA 9, America's Radio News Network and is also a frequent contributor to the BBC -- and has appeared on France24 TV and German Radio. He is a past president of the Georgetown Kiwanis Club, past member of the St. Matthew's Cathedral's Parish Council, and secretary of the West End Friends of the Library. He is a recipient of the William A. Rusher Award for Journalistic Excellence and was named Journalist of the Year by the Conservative Political Action Conference in 2002. John Gizzi is also a credentialed correspondent at the World Bank and the International Monetary Fund. He has questioned two IMF managing directors, Dominique Strauss-Kahn and Christine LaGarde, and has become friends with international correspondents worldwide. John‚??s email is JGizzi@EaglePub.Com