The International Monetary Fund (IMF)

The International Monetary Fund (IMF) is an organization of 187 countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world. The IMF works to foster global growth and economic stability. It provides policy advice and financing to members in economic difficulties and also works with developing nations to help them achieve macroeconomic stability and reduce poverty.



Organization and Finances of IMF

The IMF has a management team and 17 departments that carry out its country, policy analytical, and technical work. One department is charged with managing the IMF's resources. This section also explains where the IMF gets its resources and how they are used.

Management

The IMF is led by a managing director, who is head of the staff and chairman of the executive board. The managing director is assisted by a first deputy managing director and three other deputy managing directors. The management team oversees the work of the staff, and maintains high-level contacts with member governments, the media, non-governmental organizations, think tanks, and other institutions.

Managing Director: Duties ad Selection

According to the IMF,s articles of agreement, the managing director "shall be chief of the operating staff of the fund and shall conduct, under the direction of the executive board,  the ordinary business of the fund. Subject to the general control of the executive board, he shall be responsible for the organization, appointment, and dismissal of the staff of the fund."

The Current Management Team

Managing director, Christine Laggard, a french national, joined the IMF as managing director in july 011. before coming to the IMF, she was france,s minister for economy, finance and industry. David Lipton, of the United states, joined the IMF as special advisor to the managing director in july 2011. On 1st september, 2011, he became first deputy managing director. Prior to joining the fund, Lipton served as special assistant to the president and as the senior director for the international economic affairs at the US national council and US national security council at the white house.

Naoyuki Shinohara, a japanese national, joined the IMF as deputy managing director in arch 2010. Previously, he was japan,s vice-minister of the finance for international affairs. Nemat shafik, from Egypt, became deputy managing director of the IMF in april, 2011. Previously, she had worked at the UK department for international development (DFID), the world bank, and the international finance corp.

Min Zhu, from China, joined the IMF Aas special advisor to the managing director in may 2010. On 26th july, 2011, he became deputy managing director. before coming to the the IMF, Min Zhu was a deputy governor of the People<s bank of the china and previously worked at the world bank.


Conversations With IMF Staff

1. African Department: Covers 44 Countries.

2. Asia and Pacific Department: Covers 33 Countries.

3. European Department: Covers 46 Countries (44 of which are IMF members).

4. Middle Ea and Central Asia Department: Covers 31 Countries.

5. Western Hemisphere Department: Covers 34 Countries.

Surveillance of IMF

The IMF regularly checks how economies are functioning under a process known as surveillance. Surveillance covers a range of economic policies, with the emphasis varying in accordance with a country,s individual circumstances.

(i) Exchange rate, and fiscal policies. The IMF provides advice on issues such as the choice of exchange rate policies and ensuring consistency between the regime and fiscal and monetary policies.

(ii) Financial sector issues are receiving elevated coverage in surveillance reports, building on the achievements under the financial sector assessment programme (FSAP), which enables the IMF and the world bank to gauge the strengths and weaknesses of countries, financial sectors.

(iii) Assessment of risks and vulnerabilities stemming from large and sometimes volatile capital flows has become more central IMF surveillance in recent years. 

(iv) Institutional and structural issues have also gained importance in the wake of financial crises and in the context of some countries, transition from planned to market economies. The IMF and the world bank play a central role in developing, implementing, and assessing internationally recognized standards and codes in areas crucial to the efficient functioning of a modern economy such as central bank independence, financial sector regulation, and policy transparency and accountability.

(v) Economic and financial policies: When a country joins the IMF, it agrees to subject its economic and financial policies to the scrutiny of the international community. It also makes a commitment to pursue policies that are conducive to orderly economic growth and reasonable price stability, to avoid manipulating exchange rates for unfair competitive advantage, and to provide the IMF with data about its economy.

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