World bank

 Bretton woods conference:

 It was the gathering of 730 delegates from all 44 Allied

nations

 General Agreement on Tariffs and Trade (GATT) was

signed and agreements were executed that later
established the International Bank for Reconstruction
and Development (IBRD, which is part of
today's World Bank Group) and the International
Monetary Fund (IMF).
 OBJECTIVES
 Reconstruction and development
 Encourage international trade
 Environment protection
 Infrastructure development
 Encourage capital investment
 Loan for meeting deficit in balance of
payment
 FUNCTIONS
 Advances loans- direct loans, guarantee
loans, and joint loans
 Imparts training
 Agriculture and rural development
 Settlement of international disputes
 Provides financial assistance to welfare
institutions like UNICEF, UNESCO,
WHO,etc
 INDIA AND WORLD BANK

• Improve Rural Water Supply and

Sanitation Services in Four Indian States

• Mediation between indo-pak water

dispute
 FOUNDATION
 Founded on 27th December 1945

 Headquarters- Washington DC, USA

 The IMF's stated goal was to assist in

the reconstruction of the
world's international payment system
post–World War II.
 OBJECTIVES OF IMF
 To promote international monetary
cooperation
 To maintain stability in the rate of
exchange
 To abolish exchange restrictions
 To provide aid to members when in need
 To promote balanced economic
development
Special drawing rights(SDRs)
 Created by IMF & started in 1969
 Also known as paper gold
 Defined in terms of basket of 5
currencies-US$, British pound, French
franc, German Deutsche mark &
Japanese Yen
 Member countries are allotted quotas of
SDRs
 FUNCTIONS OF IMF
 Purchase and sale of foreign currency

 Bank of central banks

 Imparts training

 Facilitates during emergencies

 Poverty reduction
 ADVANTAGES FOR INDIA
 Facility of foreign exchange
 Membership of world bank
 Importance of India in international
sector
 Help during emergency
 Financial help for five year plans
 Help in foreign exchange crisis
IMF v/s World bank
IMF
 Oversees the monetary
system of the world
 Promotes exchange relations
and stability among member
countries
 Adds to the currency reserves
of its member countries
 Provides short to medium
term credit
 Financial resources come
from fixed quota subscription
World bank
 Promotes development in
underdeveloped countries
 Provides long term
development projects for
underdeveloped countries
 encourages private
enterprises
 Provides special finances to
poor countries
 Financial resources are
acquired by borrowing on the
international bond market