International Monetary Fund (IMF)
In 1944, toward the close of World War II, the major Allied government met in Britton woods. New Hampshire, to determine what was needed to bring economic stability and growth to the postwar world. As a result of the meeting, the International Monetary Fund (IMF) came into official existence on December 27, 1945 and began financial operations on March, 1947. The IMF is governed by and accountable to its 189 member countries.
Basic functions of IMF are to promote international financial stability and monetary cooperation. It also facilitates international trade, promotes employment and sustainable economic growth, and helps to reduce global poverty.
The Bretton Wood Conference believed that the deterioration of international trade during the years after world war. It was attributable in part to the competitive exchange rate devaluation that plagued international commerce. To ensure the post world war II Monetary system would promote international commerce. The Bretton Woods Agreement called for the creation of the International Monetary Fund to overseas the function of the international monetary System.
