organization created at the close of World War II to supervise the international financial system, to lend official reserves to nations with temporary payments deficits, and to decide when exchange rate adjustments are needed to correct chronic payments deficits.
international organization, formed at the Bretton Woods economic conference in 1944, to maintain monetary stability in the world community. It has 184 members, including the United States. The IMF works closely with the International Bank For Reconstruction And Development (the World Bank). The International Monetary Fund's role has changed since the early 1970s when fixed-exchange rates were ended. The IMF currently directs much of its attention toward assisting developing countries manage their debts to foreign creditors.
The IMF makes loans in the form of drawings ( Special Drawing Rights (SDR)) by member countries. In recent years, the IMF has linked its lending activities to stringent internal restraints aimed at bringing inflation rates and the world debt crisis under control by reducing imports and increasing exports of debtor nations. Following the Asian financial crisis of 1997 and its destabilizing impact on developing countries worldwide, the IMF introduced several new credit facilities to assist member countries: a Supplemental Reserve Facility (SSF), established in December 1997 to assist nations with severe balance of payment problems, and a short-term Contingent Credit Lines (CCL) facility in April 1999 to provide countries with strong economic policies a line of defense against economic crises beyond their control.
an international organization of 184 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. The IMF, founded in 1945, is headquartered in Washington, D.C.
organization set up by the Bretton Woods Agreement in 1944. Unlike the World Bank, whose focus is on foreign exchange reserves and the balance of trade, the IMF focus is on lowering trade barriers and stabilizing currencies. While helping developing nations pay their debts, the IMF usually imposes tough guidelines aimed at lowering inflation, cutting imports, and raising exports. IMF funds come mostly from the treasuries of industrialized nations.
