Name : Jihan Fathinah Bassam

NIM : 225120407111099

Comparison and Contrast Essay

World Bank and International Monetary Fund

To function in the economical field of international world, there are several

organizations that work in doing so. World Bank and International Monetary Fund are amidst
them. The fact that they both move in the same field makes people often overlook their
history and how they operate. Therefore, this essay will try to identify the similarities and
differences exist in World Bank and International Monetary Fund, based on their structures,
objectives, and members.

Based on their structures, World Bank and International Monetary Fund have the
same aspects. World Bank was founded in July 1944 as a part of the Bretton Woods
Agreement. Likewise, International Monetary Fund was also created in the same juncture.
Both International Monetary Fund and World Bank headquartered in Washington DC, United
States. Furthermore, not only World Bank has a concern on the economics of their member
nations, but also International Monetary Fund has the same concern.

In aspect of their objectives, World Bank and International Monetary Fund run it quite
differently. World Bank moves to reduce poverty and promote the long-term development of
the economy. In contrast, International Monetary Fund moves to deal with all the issues
related to the financial sector of macroeconomics. World Bank operates to promote the
economic development of the world’s poorer countries. On the other hand, International
Monetary Fund operates to oversees the international monetary system. In addition, World
Bank focus on economic growth. Whereas International Monetary Fund focus on the
economic stability.

Though they have different numbers of staff, both consist of 188 countries.
International Monetary Fund have 2300 staff members and also assist all members (both
industrial and developing countries) that find themselves in temporary balance of payments
difficulties by providing short-to medium-term credit. Whereas World Bank consist of 7000
staff members and provide the poorest developing countries whose per capita GNP less than
$865 a year special finance assistance through the International Development Association
(IDA).
 In conclusion, there are more differences than similarities between World Bank and
International Monetary Fund. The explanation on similarities and differences lay on their
structures, objectives, and members. From the information above, it can also be said that
World Bank concerns a wide aspect of the international actors.