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The IMF and its criticism - does the IMF need a reform

International Monetary Fund - salvation and the last resort for countries in need or imperialist tool for imposing the brutal economic policies The first determination would have adopted a fan of capitalism, the second disappointed anti-globaliser. Increasing integration of world economies has broughtthe need for establishing an International organization that could help stabilize the economic situation in the world and monitor the global financial system. And for this purpose during the United Nations Monetary and Financial Conference in Bretton Woods ( on July 1944) the IMF was appointed.

According to the IMF, most of the world's economic problems result from imbalances in the balances of payment, which may even lead to economic crises. This happens when a country's currency depreciates rapidly, making foreign goods and Capital are becoming increasingly expensive, which in turn can lead to distortions in the economy. These problems may also spread to other countries. For this reason, the IMF helps achieve stability through the various patches (Structural Adjustments Policies) and loans.IMF assisted member countries in implementing reforms and adjustment programs to restore good conditions for sustainable economic growth, employment growth and increase investment. Implemented programs vary depending on the unique characteristics of each country, the causes of problems and many other factors.

To obtain a loan the government of a country must agree to the introduction of reforms and commit to monitoring their progress. This is to ensure that funds received from the IMF will be used to solve the problems of imbalance in the balance of payments. The Fund assumes that after the eradication of these problems and return to economic and financial stability of the country will be able to repay borrowed funds, which will subsequently be madę available to members of another organization.Under the IMF operates the Poverty Reduction and Growth Fa ci lity program. It is interest-reduced credit for poor countries. Currently it is available for 78 countries. The interest ratę is 0.5%. Debt followed every six months, but begin in 5.5 years, and ending at 10 years after the receipt of funds by the State. IMF loans are very attractive for the member countries. Not only are low-interest, but also (in the case of developing countries) are often the only available source of Capital for the country. As at end March 2008 the IMF has a current budget of EUR 209.5 billion, which can be used to provide loans. IMF seeks to promote economic stability, reduce vulnerability and sustainable growth.

Shall also analyze the current situation of the global economy, and encourages closer cooperation between member countries. The Fund also provides technical assistance, consisting of counseling and organization of various training in the conduct of fiscal policy, monetary and currency, legał system, economic statistics, or to supervise the financial system. IMF works with many financial institutions worldwide, including World Bank, regional development banks, the WTO (World Trade Organization) and UN agencies. These organizations participate in joint work on various projects, exchange information, research results and statistics, as well as cooperate in setting international standards. IMF is also a member of the Financial Stability Forum. Belong to the FSF's economic and monetary authorities of the country (central banks, financial, treasury departments) and international financial institutions, including IMF, World Bank, the Bank for International Settlements (Bank for International Settlements). Forum focuses mainly on promoting financial