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The Project -

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(generated from captions) interesting when you said you were

in the terminal and it was empty.

Yes, and lot of empty seat on the

plane. Moving on and with all the

kerfuffle this week about Australia

contributing more funds to the IMF

in the wake of the European

financial crisis, we thought we'd

take a closer look at what the IMF

is. It stands for International

Monetary Fund. It is basically like

grandma and ensuring all the

countries play nice - specifically,

it promotes economic cooperation

between countries ensuring exchange

rates remain fair, international

trade is reasonable and resources

are available so that countries can

meet their debts when in strife.

Enter Greece and the IMF is said to

play a key role in avoiding a total

European collapse. Australias will

commit as line of credit to the IMF

and this week the PM has copped

criticism for saying she would be

willing to increase that amount, if

grandma - or the IMF - asking for

help I indicated that Australia was

prepared to play its part in

increasing resources to the IMF.

Kevin Rudd is trying to knife her

and he she a off over there making

dumb statements about the IMF.

Why does Australia need to lend out

money and frankly, what is in it

for us? To answer that let's go

straight to the top with Federal

Treasurer Wayne Swan this. Is

pretty complicated stuff so speak

to me like I am the host of a live

entertainment news program. Why are

we making all of this money

available to the IMF? Well, firstly,

it is not just Australia, there are

187 countries in the IMF and

Australia provides about 1% of the

resources of the IMF. We all have a

really big interest in a stable

global economy and at the moment

there are some economys in the

world doing it tough. Now,

world doing it tough. Now, fortunately, during the global

financial crisis we did pretty well,

but we have another threat to the

global economy coming now and the

IMF is going to have to play some

role to avoid that so we don't

experience the fallout here in

terms of jobs and the rest of it

for our economy. It is essentially

a loan. Do we get it back with

interest? Too, right we. Do it is a loan given under very strict

conditions and it is repaid with

interest. All loans that have been

given in the past 60 years by

Australia have all been repaid and

have all been repaid with interest.

Now, say they can't pay it back,

can we get a Greek island or

something. Just for you!! This is a

serious explanation we want here.

Basically, Greece owes more than

France and America owes more than

China, but we all owe, we are all

in debt. Where is the money? Who

has it? First of all, Australia is

in pretty good nick and there are

other countries around the world

that are in good shape too,

countries like Germany and China.

But they are all in debt so who has

the money? Well, there is money in

the globe but some economies

the globe but some economies are

facing difficult times. If they

face and experience more difficult

times we are all impacted by that

and it will impact on growth here

and on jobs. That is why we have

the IMF. It acts like a bank to

make loans under strict conditions

to make sure that they can get

through and support their economy.

We all have an interest in that.

But you still haven't said who has

the money. Is money just an

imaginary concept? Let's be honest.

Well, there are plenty of countries

in the world that have surpluses,

and there are plenty of countries

in the world that have great

economic capacity and I just went

through some of those before. In

Australia, our public finances are

really strong, they are really

strong right throughout Asia as

well, but at the moment there is a

problem in Europe which has to be

solved but it will only be solved

by the IMF acting in that area through loans under strict

conditions which are repaid. And in

the case of Australia, all the

loans that we have made through the

IMF have in the past been repaid in

full. All of it has been repaid. So,

this has happened under both sides

of politics under 60 years. A good

job of explaining that. Earlier

this week you did say that if

in Gillard was ousted and Rudd was put

in the top job you would walk as

well F she jumped off a cliff would

you follow as well? No, I didn't

say that, that is just another

fairy story in the 'Daily Telgraph'.

Right. Treasurer Wayne Swan great

to talk to you, have a good weekend.

There is a solution to the Greek

debt crisis over at the G20, I

think Nicolas Sarkozy is all over this

this problem.. "This is the dealt

for Greece? Not my problem. What is

this, is this the debt crisis for

Portugal? Not my problem". That is

a really bad French accent.