What Does International Monetary Fund (IMF) Mean
We explain what the International Monetary Fund is, its history, objectives, functions and member countries. Also, the World Bank.
What is the International Monetary Fund (IMF)?
The International Monetary Fund, known by its acronym IMF, is an international organization dedicated to international economic cooperation , the promotion of international trade and the promotion of exchange and job stability. For this, it offers various strategies for financial aid and support for local economic policies.
In other words, the International Monetary Fund is the main international organization dedicated to maintaining the macroeconomic system . It is made up of 189 different countries that make a percentage of their international financial reserves available to the fund. Its headquarters are in Washington, United States.
However, this organization works with a corporate spirit, and not according to the horizontality of most international diplomatic or political institutions (one country = one vote). In other words, the countries that have the largest shares of financial participation in the IMF are those who have the greatest voting power in their decisions and policies.
From time to time a review of these quotas is made and emerging economies have the option of gaining greater participation.
The structure of the International Monetary Fund is made up of a Board of Governors that makes decisions and elects a Council of Directors that functions as its executive arm. With only 24 directors, each represents more than one country, or a specific region .
See also: Default
History of the International Monetary Fund
The IMF was officially founded in 1945 , at the end of World War II , although it had already emerged as an idea the year before, during the Bretton Woods Accords. The IMF was created to ensure the stability of the world's economic and financial system , after the brutal economic depression of 1929.
The IMF emerged from the hand of the World Bank, the International Bank for Reconstruction and Development (IBRD) and the General Agreement on Tariffs (GATT), as part of a series of organizations aimed at preserving economic stability and laying the foundations for the advent of a world trade.
In all this there was a notorious influence of the United States , the victorious power of World War II (which later faced the Soviet Union in the Cold War ). Therefore, economic integration plans such as the creation of a world bank with its own currency, were rejected to maintain the primacy of the dollar.
With the disappearance of the fixed exchange rate, since 1976 the IMF focused on the countries in the process of development and participation in economic crises worldwide. Many of the criticisms of his management come from that time, accused of collaborating with right-wing Latin American dictatorships.
In addition, he is criticized for promoting a model of neoliberal capitalism that openly favors the interests of the United States, even when it means subjecting poorer nations to cruel and strict economic regimes.
Objectives of the IMF
The International Monetary Fund pursues the fundamental objective of promoting economic exchange and international trade in the world, especially among the less industrialized countries and those in need of help to achieve economic and financial growth rates.
It also offers loans and economic supervision to countries devastated by a crisis or misgovernment.In this way, its main goal is to be the institution that promotes economic growth on the planet, in order to maintain the balance of the system and prevent crises or severe economic fluctuations.
IMF functions
Among the different functions that the IMF performs we can find:
- Provide financial support to countries in need, in the form of multi-million dollar loans accompanied by a certain margin of economic supervision.
- Advise the economic policies of developing nations that request the tutelage of the institution.
- Keep a record of the economic performance of the countries that make up the Fund and make recommendations in this regard.
- Carry out measurements, statistical analysis and predictions on the global, regional and national economic situation.
IMF member countries
There are currently 189 member countries of the International Monetary Fund, of which 29 are also founding countries. These nations are:
Afghanistan Albania Germany Angola Old and bearded Saudi Arabia Algeria Argentina Armenia Australia Austria Azerbaijan Bahamas Barbados Bahrain Bangladesh Belgium Belize Benin Belarus Burma (Myanmar) Bolivia Bosnia and Herzegovina Botswana Brazil Brunei Darussalam Bulgaria Burkina faso Burundi Bhutan Cape Verde Cambodia Aruba Chad Cameroon Canada Taste chili China Cyprus Colombia Comoros South Korea Ivory Coast Costa Rica Croacia Dinamarca Dominica Ecuador Egipto El Salvador Emiratos Árabes Unidos Eritrea Eslovaquia Eslovenia España Estados Federados de Micronesia Estados Unidos Estonia Etiopía Filipinas Finlandia Fiyi Francia Gabón Gambia Georgia Ghana Granada Grecia Guatemala Guinea Guinea-Bisáu Guinea Ecuatorial Guyana Haití Honduras Hong Kong Hungría India Indonesia Irak Irán Irlanda Islandia Islas Marshall Islas Salomón Israel Italia Jamaica Japón Jordania Djibouti Kenia Kirguistán Kiribati Kuwait Laos Lesoto Letonia Líbano Liberia Libia Lituania Luxemburgo Macedonia del Norte Madagascar Malasia Kazajistán Maldivas Malí Malta Marruecos Mauricio Mauritania México Moldavia Mongolia Montenegro Mozambique Namibia Nepal Nicaragua Níger Nigeria Noruega Nueva Zelanda Omán Países Bajos Pakistán Malaui Panamá Paúa Nueva Guinea Paraguay Perú Polonia Portugal Reino Unido República Centroafricana República Checa República del Congo República Democrática del Congo República Dominicana Ruanda Rumanía Rusia Palaos San Cristóbal y Nieves San Marino Santa Lucía Santo Tomé y Príncipe Senegal Serbia Seychelles Sierra Leona Singapur Siria Sri Lanka Suazilandia Sudáfrica Sudán Sudán del Sur Suecia Suiza Surinam Tailandia Taiwán Tanzania Tayikistán Timor Oriental Togo Tonga Trinidad y Tobago Túnez Turkmenistán Turquía Tuvalu Ucrania Samoa Uruguay Uzbekistán Vanuatu Venezuela Vietnam Uganda Yemen Yibuti Zambia Zimbabue
Fondo Monetario Internacional y Banco Mundial
Tanto el FMI como el Banco Mundial fueron creados en la Conferencia de Bretton Woods de 1944 , y desde entonces desempeñan labores complementarias, aunque autónomas. El Banco Mundial se ha ocupado de la lucha contra la pobreza y el subdesarrollo en los países menos industrializados.
Por su parte, el FMI busca estabilizar el sistema financiero mundial. Así, mientras el Banco Mundial hace énfasis en el fortalecimiento del sector privado de las naciones, el Fondo Monetario Internacional ofrece tutelaje y consejería económica a sus respectivos organismos Estatales.
Sigue con: Organización Mundial de la Salud (OMS)