IMF Managing Director lashes out at global consultancy firms

IMF Managing Director lashes out at global consultancy firms

IMF Managing Director lashes out at global consultancy firms

Written by Staff Writer

13 Feb, 2019 | 10:07 pm

COLOMBO (News 1st) – The Managing Director of the International Monetary Fund Christine Lagarde has urged developing countries in the world to desist from using global consultancy firms to write development strategies.

She criticized global consultants asking the representatives of “the McKinseys and Boston Consulting Groups” and any other consultancy firms in the room to listen to her remarks about their conduct.

“I’m looking around to see whether there are any of the McKinseys and Boston Consulting Groups and if there are please listen to me.”

“I see many, many low-income countries and emerging-market economies spend millions of dollars commissioning consultants to build their strategic plan. I would recommend some saving be made by taking the 17 principles, the actionable items, and start with that.”

She argued that low-income and emerging-market economies must raise more revenue domestically and cut white elephant projects and corruption.

She further indicated that the private sector must play an important role if developing countries were to ever achieve the 17 development goals set by the UN.

As per the information available, the government of Sri Lanka has obtained global consultancy services over the years.

In 2016 the cabinet of ministers approved $ 2.3 million for US-based McKinsey and Company, a management consultancy to help set up a Malaysia style unit to monitor and carry out government program aimed at “accelerated economic transformation.”

The consultancy was hired for three months to help train and set up a program management unit in September of 2016.

In 2017 the cabinet selected McKinsey & Company as the consulting company for the preparation of strategies for Digital Economy on the island.

Telecommunication and Digital Infrastructure Minister Harin Fernando back in the day said the cost of this exercise is around US$ 1.425 million.

SriLankan Airlines has also spent on international consultancy firms over the years including Seabury, Skyworks and Nyras of UK.

The government also received consultancy from other global firms over the years including Singapore-based urban planning consultancy Surbana Jurong Pvt Ltd.


 

Latest News

Are you interested in advertising on our website or video channel
Please contact us at [email protected]