International Organizations

• Today’s lecture will cover

• International Monetary Fund (IMF)
• World Bank
• General Agreement on Tariffs and Trade
• World trade Organization
International Monetary Fund (IMF)

The International Monetary Fund (IMF) is an

international organization headquartered in 
Washington, D.C., consisting of 189 countries
working to foster global monetary
cooperation, secure financial stability, facilitate
international trade, promote high employment
and sustainable economic growth, and reduce 
poverty around the world while periodically
depending on the World Bank for its resources
• Surveillance of the global economy
• The IMF is mandated to oversee the
international monetary and financial system and
monitor the economic and financial policies of
its member countries. This activity is known as
surveillance and facilitates international co-
operation.
• Please read: Jensen, N. M. (2004). Crisis, Conditions, and Capital. Journal of
Conflict Resolution, 48(2), 194–210. doi:10.1177/0022002703262860 
 Functions of IMF
• it works to foster global growth and 
economic stability by providing policy advice
• to oversee the fixed exchange rate arrangements
between countries
• helping national governments manage their 
exchange rates and
• allowing these governments to prioritize economic
growth
• to prevent the spread of international economic crises
 World Bank (1944)
• The World Bank is an 
international financial institution that provides
loans and grants to the governments of poorer
countries for the purpose of pursuing capital
projects
•  It comprises two institutions: the 
International Bank for Reconstruction and Dev
elopment
 (IBRD), and the 
International Development Association (IDA)
 History of World Bank
• The World Bank was created at the 1944 
Bretton Woods Conference, along with the 
International Monetary Fund (IMF). The
president of the World Bank is, traditionally,
an American
 Members
• The 
International Bank for Reconstruction and Dev
elopment
 (IBRD) has 189 member countries, while the 
International Development Association (IDA)
has 173 members. Each member state of IBRD
should also be a member of the 
International Monetary Fund (IMF) and only
members of IBRD are allowed to join other
institutions within the Bank (such as IDA).
The General Agreement on Tariffs and Trade (GATT)
30 October 1947

• The General Agreement on Tariffs and

Trade (GATT) is a legal agreement between many
countries, whose overall purpose was to promote
international trade by reducing or eliminating
trade barriers such as tariffs or quotas. According
to its preamble, its purpose was the "substantial
reduction of tariffs and other trade barriers and
the elimination of preferences, on a reciprocal
and mutually advantageous basis."
 The World Trade Organization (WTO)
• The World Trade Organization (WTO) is an 
intergovernmental organization that is concerned
with the regulation of international trade between
nations. The WTO officially commenced on 1
January 1995 under the Marrakesh Agreement,
signed by 123 nations on 15 April 1994, replacing
the General Agreement on Tariffs and Trade
 (GATT), which commenced in 1948. It is the largest
international economic organization in the world.
• The WTO deals with regulation of trade in
goods, services and intellectual property
between participating countries by providing a
framework for negotiating trade agreements
 and a dispute resolution process aimed at
enforcing participants' adherence to WTO
agreements, which are signed by
representatives of member governments
 Functions of WTO
• The main functions of the WTO are:
• Administering WTO trade agreements
• Providing forum for trade negotiations
• Handling trade disputes
• Monitoring Members’ trade policies
• Providing technical assistance and training to
developing and least developed economies
• Cooperating with other international organizations