Background to the IMF

1. ECON4
The International Monetary
Fund
Brief Background
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2. Brief History
• Formed formally on December 27th 1945
• It originally had 29 members which founded it
• It now has 188 countries which are members of the IMF
• It is headquartered in Washington DC
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3. Stated Objectives
• Promote International Economic Cooperation
• Promote International trade, employment and exchange rate
stability
• Making financial resources available to member countries to meet
balance of payments needs
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4. IMF Members
Pretty much everyone except for Cuba, North Korea, The Vatican, Andorra,
Monaco, Liechtenstein, Nauru, Cook Islands and Palestine
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5. Qualifications for Membership
• Any country can apply to be part of the IMF
• Members need to make periodic payments for membership
• Refrain from currency restrictions
• Follow the Code of Conduct in the IMF Articles of Agreement
• Provide the IMF with national economic information
• Some countries have a difficult relationship such as Argentina and
the IMF which doesn't participate in Article IV Consultation.
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6. Benefits
• Countries all have information on other countries economic
performance
• Opportunity to try and influence other nations economic policy
• Assistance in Banking
• Assistance in Fiscal Policy matters
• Assistance in Exchange Rate related problems
• Financial Assistance
• Increase trade and investment opportunities
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7. IMF Key
People
Managing Director:
Christine Lagarde
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8. Useful Links
AS Level Revision Site (ECON1, ECON2)
• http://www.aquinaseconomicsas.co.uk
A2 Level Revision Site (ECON3, ECON4)
• http://www.aquinaseconomicsa2.co.uk
Aquinas Economics on Twitter
• http://www.twitter.com/aquinaseconomic
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