IMF policymakers on Sunday brushed aside angry demands from militant demonstrators and reaffirmed their commitment to globalisation and unfettered trade.
Wrapping up a one-day meeting in Washington under heavy police protection, the International Monetary Fund's 24-member steering committee also predicted a quick rebound from the world economic slowdown and took action to douse the flames of financial crises in Turkey and Argentina.
They also issued an appeal for the fight against poverty to move beyond simple debt reduction to better government and access to trade.
'The committee considers it likely that the slowdown in global growth will be short-lived,' said the statement from the IMF's International Monetary and Financial Committee, made up of finance ministers and central bank governors.
The ministers also reaffirmed their commitment to economic globalisation - open markets and unfettered trade and capital flows. But it is precisely that approach to promoting worldwide prosperity that has drawn vigorous protest, not only from street activists but from non-governmental organisations and humanitarian organisations who see it as corporate-driven and harmful to the poor and the environment.
In a joint session World Bank and IMF policymakers agreed that their Heavily Indebted Poor Countries (HIPC) initiative, which offers debt relief to poor nations that adhere to macroeconomic reform, had to be reinforced by improved economic management in recipient countries.
The HIPC initiative, for which 22 countries are now eligible, has been sharply criticised by non-governmental organisations as offering too little relief too slowly.
Turning to two particular financial hotspots, Turkey and Argentina, IMF Managing Director Horst Koehler announced that an agreement in principle had been reached to back both of them.
The IMF is putting the final touches to a package of $10 billion in aid for Turkey, which was the beneficiary of an $11 billion economic programme in December.
The IMF agreement with Argentina was necessary to allow future installments from a $40 billion crisis package already arranged by the Fund in December. Despite that package, Argentina has been mired in a 33-month recession, and its debt burden has soared to $128 billion - almost 50% of annual gross domestic product.
