IMF

Question 1

What is IMF?

Answer 1

Global financial and monetary regulator and facilitator for global economic development.
It extends short-term loans to foreign currencies to nation states in tackling balance of payments and other economic crisis

Question 2

When was IMF set up?

Answer 2

1945

Question 3

Which agreement set up IMF

Answer 3

Bretton Woods agreement

Question 4

How did its role change after the collapse of the Bretton Woods system in 1973

Answer 4

Its role change to foster global monetary corporation, secure, financial stability, sustainable economic growth, and reduce poverty around the world

Question 5

Where was the Bretton Woods agreement signed

Answer 5

New Hampshire, USA

Question 6

Bretton Woods agreement

Answer 6

• The Bretton Woods agreement established a system through which a fixed currency exchange rate could be created using gold as the universal standard.
All national currencies were pegged (fixed) to USD, which in turn was pegged to Gold.
• Convertibility of the US dollar to gold (35 USD = an ounce of Gold) was guaranteed by USA.
• But Bretton Woods collapsed in 1973. USA terminated convertibility of the US dollar to gold.