Constance L.

Danner

WHAT IS IT????
IFI refers to financial institutions that have
been established by more than one country.
The most prominent IFIs are creations of
multiple nations, although some bilateral
financial institutions.

EXAMPLES:
World Bank
IMF
Multilateral development banks
UN agencies.

World Bank
Established July 1, 1944
o WB Group consist of
o International Bank of Reconstruction &
Development
o International Development Agency
o International Financial Corporation
o Multilateral Investment Guarantee Agency
o International Center for Settlement of
International Dispute

Norwegian Delegation,
Bretton Woods,
July 1944

WORLD BANK
185 COUNTRY
The five largest shareholders France,
Germany, Japan, UK and US .
Low-interest loans
Interest - free credits .
Grants to developing countries
Financial & Technical Assistance.

IMF
Since 1944
India in 1991
Financing to Members
Advisor & Promoter
25 % Gold & rest in currency
Statistics and Research

THE ROLE OF IMF

Increasing international monetary co-operation.
Promoting the growth of trade.
Promoting exchange rate stability.
Establishing a system of multilateral payments member
countries.
Building reserve base.
Funding facilities.

Multilateral development banks

A multilateral development bank (MDB)
is an institution, created by a group of
countries, that provides financing and
professional advising for the purpose of
development.

Examples:
World Bank
African Development Bank
Asian Development Bank
European Bank for Reconstruction and
Development
Inter-American Development Bank

Borrowing Institutions:
Corporacin Andina de Fomento (CAF)
Caribbean Development Bank (CDB)
Central American Bank for Economic
Integration(CABEI)
East African Development Bank(EADB)
West African Development Bank(BOAD)
Black Sea Trade and Development Bank
(BSTDB)

Types of IFIS:
Bretton Woods institutions
Regional development banks
Bilateral development banks
Other regional financial
institutions

Bretton Woods Institutions

After World War II to assist in the
reconstruction of Europe and provide
mechanisms for international cooperation in
managing the global financial system

Regional Development Banks

Inter-American Development Bank
(which works in the Americas, but
primarily for development in Latin
America and the Caribbean)
Asian Development Bank
African Development Bank
European Bank

Bilateral Development Banks

Bilateral development banks are financial
institutions set up by individual countries to
finance development projects in developing
countries and emerging markets.
Examples :
Netherlands Development Finance
Company.
German Development Bank .

Regional Financial Institutions

European Investment Bank
( An institution established by the members of the European Union.)
Black Sea Development Bank
International Investment Bank
(established by the countries of the former Soviet Union and
Eastern Europe)

Islamic Development Bank

Nordic Investment Bank.

 Think overseas

Rushi