Intenational Monetary Fund
For the cooperationn among the contrues to overcome the confllicts due to second world war.
Started in 1946 and commenced from March 1947 .Always provides loans to member countries for short periods.Affiliated to UNO.
Objectives::
*Promote international monetory coperation throujgh permanat institution
* to facilitate expansion of international trade
* to promote exchange stabiility.
* to provide multilatera convertability of currencies
*To help members with funds.
Functons::
* shor term credit term institution
* Reservoir of all currencies.
*Provides machinery for altering par value of the currency of member country sometimes.
Promotion and maintanance of highlevels of exployement
Operations Of Imf:-
* Provisions relating to lending operations
*Provisions relating to exchange stability.
* Provisions relating to exchange control operations.
*Provisions relating to fund's banking functions.
Role of IMF in the economic growth of developing countries:-
*Fiscal Affairs department from 1964 making advice to member countries relating to tax policy, budgetting
* Central banking advisory services -Technical advice to improve their central banks
*To solve current liquidity problem -it established SDR scheme.
