Lehman Brothers Minibond is termed as "irrelevant" by some here on this thread.
Because it is soooo irrelevant
I say again, the IMF is not a bank selling bonds
It is not an investment vehicle giving returns
it is not even a financial intermediary channelling funds to projects that yield returns
IT IS A COOPERATIVE TO FIGHT BIG MACRO PROBLEMS
if there are people making request IMF to sell off its gold to cover the losses but failed, somebody somewhere must have taken up the tap somehow.
This is why politicians need to check their facts
Do you really understand Gordon's Brown's past suggestion to sell off the IMF gold?
Okay here is a short brief:
1. IMF gold is not considered an asset (technically speaking) that the Fund can use (like the other stuff on its balance sheet)
2. It is technically quite useless and just sits there getting valued at a ridiculous price (because of complex rules and history that I won't get into)
3. At the time, the G8 were up to discuss a debt write off to the tune of 40 billion with respect to multilateral debt ie. debt owed to supranationals like the IMF, World Bank, ADB etc..
4. The mkt value at that time was 40+ billion for that stagnant pile of gold sitting in IMF related Vaults.
5. The UK suggested that they sell the whole lot and pay off everyone's debt (40 billion was just right) at one go! Note, all the other agency debt too, not just IMF loans!
6. Naturally the IMF and it's stakeholders (ie. the USA) didn't think much of the idea!
7. I think it is obvious to all that Gordon Brown was playing political games
8. In the end the agencies agreed to write off the 40 billion but each agency had to pay their own way ie. from their own funds
But even if we chose to believe that IMF has not asked anyone to write off their loans to it in the past
Don't have to choose to believe
Just look at the facts
Again, which country was ever asked to write off money loaned to the IMF?