Various functions are performed by the Functions of International Monetary Fund (IMF) to achieve the aforesaid objectives. Some of the important functions of IMF include:
- Acting as a short term credit institution,
- Providing machinery for the orderly adjustment of exchange rates;
- Acting as a reservoir of the currencies of all the member countries, from which a borrower nation can borrow the currency of other nations;
- Acting as a lending institution of foreign currency and current transaction;
- Determining the value of a country’s currency and altering it, if needed, so as to bring about an orderly adjustment of exchange rates of member countries; and
- Providing machinery for inter-national consultations.
