International Monetary Fund (IMF) is an international financial institution to foster the global economy and to manage exchange rates among the member states. IMF was created in the Bretton Wood conference along with World Bank. It formally existed on 27 Dec 1945. All the members of IMF are not a member of the United Nations Organization and vice versa. At its creation, the major objectives of IMF were to promote international monetary cooperation, international trade, high employment, exchange rate stability, sustainable economic growth and to make the resource available to its member countries in financial difficulty. Quota system and Loan are the two major sources of IMF fund. After 1971 the role of IMF increased to examine economic policies of member countries, to ensure what type of economic policy will ensure economic stability to prevent any financial crisis like the Great Depression during the 1930s. when IMF provide loan to its member state it also applies some conditions and Structural Adjustment Program. This includes cutting of expenditure which is also known as Austerity, resource extraction, devaluation of currencies, trade liberalization, privatization, balancing of the budget, enhancing rights of foreign investors, raising the price of public service and to reduce government expenditure. IMF is run by its Board of Governors and Executive Board. Every country appoints two board of governors. It meets annually and is assisted by two committees. Executive Board consists of 24 members representing 189 members. There is one managing director which is also the head of staff and chairman of the Executive Board. Each member of the IMF has Quota which is based on the economic size of that country in the global economy. Based on the Quota system each country has voting power in the IMF. The United States has more votes (17) as compared to any other country. The IMF works on the principle that wealthy countries in IMF provide the resources which the poor countries in IMF utilize. Thus based on the Quota and Voting power, the wealthy countries in IMF have more say than poor countries. Also, IMF policies caused unemployment and an increase in tax.
To watch more videos you can click on the following links:
Détente: • Detente in Urdu/Hindi
Soviet-Afghan War: • Soviet Afghan War in U...
Suez Canal Crisis: • Suez Canal Crisis in U...
Kashmir Issue: • Kashmir Issue in Urdu/...
United Nations Organization: • Structure of United Na...
Holocaust: • The Jewish Holocaust i...
To Subscribe my Chanel you can click on the following link:
/ @studypolitics
Study Politics is an educational Channel. The purpose of this channel is to provide information about different topics related to History, International relations, Political Science, Sociology, Current Affairs, and other Social Sciences. The students of competitive exams like CSS, PMS, PPSC, PCS, ISP, UPSC and others will find this channel extremely beneficial because of its simplified material and nature of its content. Besides some specific students, the other people belong to other fields other than social sciences can also find this channel useful. It will provide them day-to-day news with the explanation.
You can also like my Facebook page, can follow me on Twitter and on Linkedin.
 Facebook: / study.pq.5
 Twitter: / studypq
 Google: aboutme.google.com/u/0/?refer...
 Linkedin: / study-pq-6162a918a
#StudyPolitics #International_Monetary_Fund #IMF