International Monetary Fund (IMF) has always been in news. Which among the following statement(s) is/are incorrect?
Codes :
International Monetary Fund (IMF) has always been in news. Which among the following statement(s) is/are incorrect?
Codes :
The correct option is D 2, 3 and 4 only
The IMF's primary purpose is to ensure the stability of the international monetary system—the system of exchange rates and international payments that enables countries (and their citizens) to transact with each other. The Fund's mandate was updated in 2012 to include all macroeconomic and financial sector issues that bear on global stability. The transfer of quota was more than six percent to emerging and developing countries. India’s voting right was raised to 2.6% from current 2.3%. Thus statements 2, 3 and 4 are incorrect only 1st statement is correct.
Extra information
The IMF, also known as the Fund, was conceived at a UN conference in Bretton Woods, New Hampshire, United States, in July 1944. The 44 countries at that conference sought to build a framework for economic cooperation to avoid a repetition of the competitive devaluations that had contributed to the Great Depression of the 1930s.
Recent changes: In long-pending reforms that came into effect when emerging and developing economies gained more influence in the governance architecture of the International Monetary Fund (IMF). India’s voting rights increase to 2.6 per cent from the current 2.3 per cent, and China’s, to six per cent from 3.8, as per the new division. Russia and Brazil are the other two countries that gain from the reforms. More than six per cent of the quota shares will shift to emerging and developing countries from the U.S. and European countries. The combined quotas — or the capital countries contribute — doubles to about 659billionfromabout329 billion.
2, 3 and 4 only
The IMF's primary purpose is to ensure the stability of the international monetary system—the system of exchange rates and international payments that enables countries (and their citizens) to transact with each other. The Fund's mandate was updated in 2012 to include all macroeconomic and financial sector issues that bear on global stability. The transfer of quota was more than six percent to emerging and developing countries. India’s voting right was raised to 2.6% from current 2.3%. Thus statements 2, 3 and 4 are incorrect only 1st statement is correct.
Extra information
The IMF, also known as the Fund, was conceived at a UN conference in Bretton Woods, New Hampshire, United States, in July 1944. The 44 countries at that conference sought to build a framework for economic cooperation to avoid a repetition of the competitive devaluations that had contributed to the Great Depression of the 1930s.
Recent changes: In long-pending reforms that came into effect when emerging and developing economies gained more influence in the governance architecture of the International Monetary Fund (IMF). India’s voting rights increase to 2.6 per cent from the current 2.3 per cent, and China’s, to six per cent from 3.8, as per the new division. Russia and Brazil are the other two countries that gain from the reforms. More than six per cent of the quota shares will shift to emerging and developing countries from the U.S. and European countries. The combined quotas — or the capital countries contribute — doubles to about 659billionfromabout329 billion.
