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The International Monetary Fund (IMF) is the International

Organization.

Objectives 1) Stabilizing international exchange rates

2) Facilitating Development.

Formally organized on December 27, 1945, when the first

29 countries signed itsArticle of Agreement.

Managing Director of IMF (November 1, 2007 present)Dominique Strauss-Kahn France

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Currently having 187 members.

Headquarters located in Washington D.C., United

States.

HQ 1

HQ 2

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Member Countries

Board of Governors

Executive Board

IMF Managing Directors

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Governed by, and is accountable to, its membercountries through its Board ofGovernors.

There is one Governor from each member country.

(Pranab Mukherjee from India)

TheGovernors usually meet once a year, in Septemberor October, at the Annual Meetings.

The day-to-day work of the IMF is carried out by the

Executive Board

The Executive Board selects the IMF's ManagingDirector, who is appointed for a renewable five-yearterm.

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He is assisted by a First Deputy Managing Director andtwo other Deputy Managing Directors.

Of the 24 Executive Directors on the Board, 8 are

appointed by single countriesthe IMF's 5 largestquota-holders (the United States, Japan,Germany,France, and the United Kingdom) and China, Russia,and Saudi Arabia.

The other 16 Executive Directors are elected for two-

year terms by groups of countries known as"constituencies.

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To promote international monetary co-operation;

To facilitate the expansion & balance growth of

international trade;

To promote exchange stability; To make its general resources temporarily available to

its members experiencing balance of payment

difficulties under adequate safeguard.

The architects of the IMF hoped to design a

fixed exchange rate system that

would encourage growth

in international trade

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Any country may apply for membership to the IMF.

The application will be considered first by theIMFs Executive Board.

The Executive Board will submit a report to theBoard ofGovernors of the IMF.

The applicant state needs to sign the IMFs Articleof Agreement.

Any member country can also withdraw from the

Fund. (eg.Cuba in 1964)

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An international financial institution that provides loan to

developing countries.

Formally organized on December 27, 1945

The WB has a stated goal of reducing poverty.

The WB comprises of two institutions

1) International Bank for Reconstruction & Development

(IBRD).

2) International Development Association (IDA)

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IBRD has 187 member countries, while IDA has 168

members.

The president of the bank is responsible for chairingthe meetings of the Board of Directors.

President of WB Robert Zoellick (July 1, 2007-

present,11th President of the Bank for a five-year

term)

The WB headquarters are in Washington,D.C.

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The WB sees the five key factors necessary for

economic growth as :

1.Built capacity2.Infrastructure Creation

3.Development of financial systems

4.Combating corruption

5.Research,consultancy & training

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Primarily through the IBRDs sale of AAA-rated

bonds.

The IBRDs income is generated from itslending activities.

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