What Is the Connection between the International Monetary Fund and the World Bank?

The International Monetary Fund (IMF) was established in Washington, D.C., on December 27, 1945, in accordance with the IMF Agreement signed at the Bretton Woods Conference in July 1944. Established at the same time as the World Bank and listed as the world's two largest financial institutions, its role is to monitor currency exchange rates and the trade situation of various countries, provide technical and financial assistance, and ensure the normal operation of the global financial system. Its headquarters are in Washington, DC. The SDR we often hear was created by the organization in 1969.

International Monetary Fund

In 1944,

The organizational structure of the IMF consists of the council, the executive board,

(1) The IMF is organized by the United States and

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China is one of the founding countries of the IMF. After the birth of the new China, our seats have been

The main role of the International Monetary Fund is

U.S. rejects RMB into IMF SDR currency basket

According to Xinhua News Agency, U.S. Treasury Secretary Jacob Lu has recently rejected the yuan's entry into the International Monetary Fund (IMF) Special Drawing Rights (SDR) currency basket.

Lu's reasoning is that, although progress has been made in renminbi liberalization, "further liberalization and reform are needed to meet IMF standards." However, IMF President Christina Lagarde said that the IMF welcomes and shares China's goal for the RMB to enter the SDR.

Yi Gang, deputy governor of the People's Bank of China, said that he must be cautious about whether the renminbi can join the SDR.

RMB joins Special Drawing Rights (SDR) currency basket

On November 30, 2015, the Executive Board of the International Monetary Fund (IMF) approved the RMB to join the Special Drawing Rights (SDR) currency basket. The new currency basket will take effect on October 1, 2016.

The IMF issued a statement on the same day saying that the Executive Board completed the biennial SDR currency basket review on the same day and considered that the RMB meets all existing criteria for "entry into the basket." Since October 1, 2016, the RMB has been identified as a freely usable currency and will form the SDR currency basket together with the US dollar, Euro, Japanese yen and British pound.

The IMF believes that the RMB basket will diversify the currency basket and be more representative of major global currencies, which will help increase the appeal of SDR as a reserve asset.

The IMF also adjusted the weight of the basket currency to: 41.73% of the US dollar, 30.93% of the euro, 10.92% of the yuan, 8.33% of the yen, and 8.09% of the pound.

IMF President Lagarde said on the day after the Executive Board that the RMB basket is an important milestone for China s economic integration into the global financial system and IMF recognition of China s progress in reforming its currency and financial system over the past few years. ^[10]

3.16 Paris IMF office bombing

On March 16, 2017, an explosion occurred in the IMF's office, causing one person to be slightly injured. ^{[twenty three]}