How important is the International Monetary Fund and the wor

Solution

IMF - Global Trade & Global Environment

IMF is achieving economic growth by improving the standard of living. This is achieved through globalization. IMF safeguards the financial system, takes advantage of the opportunities offered by the integration of the world economy. This minimizes the associated risk.

UN target of 0.7 per cent GNP has been achieved through official development assistance. This is an expression of solidarity between poor, and, rich countries. It is implementing reforms in the developed world.

Globalization is required but politicians need to distribute the benefits. The reforms that require political decisions can make the Millennium Development Goals come within reach.

World Bank - Global Environment & Global Trade

World Bank, IMF, and, the World Trade Organization have now come together to address global trade. The three institutions are averting a downward spiral of protectionism, and, low growth. Extreme poverty cannot be ended, and, global growth is not possible without trade.

Both IMF, and, the World Bank are taking steps towards greater globalization for economic growth. IMF, and, the World Bank are working on reducing poverty levels. IMF works on reform of the international financial architecture. Considerable resources are devoted to greater involvement of the private sector. Costly, and, protracted defaults are being protected through the Sovereign Debt Restructuring Mechanism. IMF is spearheading HIPC for debt relief in the African economies. Trade liberalization brings in benefits from free trade, and, offers an escape from aid dependency. Countries are opening up markets and phasing out trade-distorting subsidies.

Serious environmental problems budget, and, trade balances & economic growth. Countries with severe air, and, water pollution levels greatly increase public health expenditure. Exploitation of natural resources curtails a country\'s ability to earn through exports in future. This can lead to deterioration of the balance of trade. IMF works on national environmental problems that can impact macroeconomic growth. IMF works with the policymakers to look at keeping these problems under control.

Sustainable management is vital for economic growth.