International Monetary Fund (IMF)

Overview

International organisation of 184 members, agency of the UN, founded in 1944 as part of Bretton Woods agreement

Role of IMF

• To promote international monetary cooperation through a permanent institution which provides the machinery for consultation and collaboration on international monetary problems

• To facilitate expansion and balanced growth of international trade, and to contribute to promotion/maintenance of high levels of employment and real income

• To promote exchange stability, and to avoid competitive exchange depreciation

• To assist in the establishment of a multilateral system of payments and elimination of foreign exchange restrictions which prevent the growth of world trade

• Provides financial assistance to member countries facing balance of payments difficulties

General examples of how IMF has helped

Addressed economic crises around the world e.g. 2007/08 financial crash, and Asian crisis of the late 1990s

IMF supporting Zambia

• Dec 2024 announced they were providing Zambia with immediate access to a $184 million loan

• 2024 a team from IMF visited Lusaka (capital of Zambia) to discuss recent economic and financial developments, and discussed the Extended Credit Facility which is a financial assistance programme that could help Zambia with debt restructuring to create room in budget for much needed social spending