Exit IMF and WB

The Venezuelan president, Hugo Chavez, today severed ties with the World Bank and International Monetary Fund.

In doing so he distanced Caracas further from what he described as Washington-dominated institutions.

The populist leader, who took office pledging to pursue radical political reform and an economic "third way," said yesterday that Venezuela no longer needed institutions "dominated by US imperialism."

Speaking at a May Day event, Mr Chavez said: "We don't need to be going up to Washington... We are going to get out. I want to formalise our exit from the World Bank and the International Monetary Fund."