Here are few points about IMF i did understand
IMF was established with objective of looking into global financial system by looking into macroeconomic policies of its member countries. Headquartered at Washington D.C . IMF tries to stabilize exchange rates.
Some reform talks are underway these days
1: 6% voting shares to major developing nations. Industrialized countries hold 57% of the vote share.
Criticism :
1: IMF is reflecting interests of western financial community
2: It works of assumption that all payment disequilibrium are caused domestically .
3: IMF advocates austerity , which can not be good option in all the economies .
4: Widely differing economic circumstances for different counties. IMF has failed over the years to see this reality as it tried to implement it policies.
Negative impact has been observed in following areas due to IMF negative policies
1: Impact on food
2: Impact on Health . IMF has prevented investment in areas of health as it forces the countries to look into short term balance. It also advocates fiscal restraint leading to neglect of Health sector.
3: Impact on environment
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