Professional Documents
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International Monetary Fund & World Bank
International Monetary Fund & World Bank
MONETARY FUND
&
WORLD BANK
What is IMF?
An international organization of 185 member
countries
Established to promote international monetary
cooperation, exchange stability
And orderly exchange arrangements
To foster economic growth and high levels of
employment; and
To provide temporary financial
assistance to countries to help ease
balance of payments adjustment
Beginning of IMF
Great depression
Bretton
Wood
System
After effects of
World War II
Bretton Wood
System
IMF
World Bank
Objectives of IMF
Activities of IMF
The IMF performs three main activities:
Monitoring and advising member countries
on their economic policies
Lending members
Offering technical assistance
Technical Assistance
The IMF provides technical assistance and training
mainly in four areas:
Monetary and financial policies (monetary policy instruments;
banking system supervision, and restructuring; foreign management
and operations; clearing settlement systems for payments; and
structure development of central banks)
statistical data
economic and financial legislation.
Place of IMF
under the Balance
of Payment
Criticism
Conditionalities
Structural Adjustment Programs
IMF frequently advocates currency devaluation
Austerity programmes
International Monetary Fund gold reserve
being undervalued.
E.g. : Argentina
THE
WORLD
BANK
Organization structure
Member Governments
President
Board of governors
Executive directors
Governance structure
The World Bank Group is owned by its member
governments, -subscribe to its basic share capital -votes
proportional to shareholding
The President of the World Bank is nominated by the
President of the United States and elected by the Bank's
Board of Governors
As of November 1, 2006
Governance structure
The institutions of the World Bank Group are all run by a Board
of Governors meeting once a year.
Each member country appoints a governor
Daily work is governed by a Board of 24 Executive Directors to
whom the governors have delegated certain powers.
Executive Directors are appointed by their respective
governments or the constituencies
The agencies of the World Bank are each governed by their
Articles of Agreement that serve as the legal and institutional
foundation for all of their work
Objectives
Education
Energy
Environment
Financial Sector
Gender
Governance
Health, Nutrition &
Population
Industry
Information &
Communication
Technologies
Information,
Computing &
Telecommunications
International
Economics & Trade
Labor & Social
Protections
Financial Assistance
Lending Instruments
Co financing
Grants
Criticism
The World Bank has long been criticized by nongovernmental organizations and academics &
including its former Chief Economist.
Called free market policies Bank advocates in
many cases
In practice are often harmful to economic
development if implemented badly, too quickly in
the wrong sequence, or in very weak, uncompetitive
economies
Criticism
Makes a sharp criticism of the assumptions
and structure of the World Bank operation.
In the past six years, it has committed about
US$2 billion through grants, loans and
credits for programs to fight HIV/AIDS.
Critics, claim these financial expenditures
to be insufficient. "Race Against Time"
MIGAS BUSINESS
Guarantees protect investors against the risks of Transfer
Restriction, Expropriation, War and Civil Disturbance
Established in 1956
IFC- MANAGEMENT
IFC has 179 member countries .
To join IFC, a country must first be a member of
the International Bank for Reconstruction and
Development (IBRD)
IFC's corporate powers are vested in its Board of
Governors, to which member countries appoint
representatives
The Board of Governors delegates many of its
powers to the Board of Directors, and which
represents IFC's member countries.
The Board of Directors reviews all projects.
BIBLIOGRAPHY
www.worldbank.org
www.imf.org
http://finmin.nic.in
http://commerce.nic.in
www.rbi.org.in
Thank
You
Making This World a
Better Place For And For
Me..