Imf Legal Roles

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What exactly are the legal roles of the International Monetary Fund and/or the World Bank within the international community and in 2012 do they require revision? INTRODUCTION The international monetary fund (IMF) and the World Bank play a pivotal role in the international economy both in a different but complementary way. They are known as the Bretton Woods institutions, which are the name of the village where the representatives of 44 states signed on July 22, 1944, the Articles of Agreement that led to their creation. The IMF was created in order to restore the volume of international trade which dropped due to the fact that countries had abandoned the gold standard in the 1930’s creating instability. The members of the IMF would contribute by subscribing to quotas and will be able to borrow from the Fund on a temporary basis. The organisation has other activities such as surveillance of its member’s economies and policies in order to help them improve it. The International Bank for Reconstruction, known as the World Bank had the task of reducing poverty by granting loans to reduce poverty in developing countries, of protecting the environment and to promote private sector and resource development. The IMF and the World Bank have a total of 188 members. A state that wishes to join the World Bank is required to join the IMF first. They are both specialized agencies of the United Nations. The IMF and the World Bank have been facing a changing and evolving world since their creation and they have to adapt to it. They both had to change way they were working to be able to work efficiently because they are two institutions that are essentials to the international economy. HISTORY OF THE IMF The role of the IMF is to help the member countries that are facing difficulties in their finances and have temporary balance of payment problems. Countries that facing a
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