International Business and International Marketing

Chapter 4 : Funding Institutions

Chapter Summary

Of the three agencies just studied, the World Bank is the most diverse. The IMF concentrates on providing a sound framework for economic development and cooperation between member nations, and concentrates its efforts on establishing an environment of international monetary cooperation. In order to achieve its purpose, the IMF performs three main operations.

These are: Surveillance, Financial Assistance and Technical Assistance. The Asian Development Bank is a multilateral development financial institution. Its operations are limited to the Asia and the Pacific region. The objectives of ADB are: reducing poverty, promoting economic growth, supporting human development, improving the status of women, and protecting the environment.

The World Bank is actually a group of five associated development institutions. These include

• International Bank for Reconstruction and Development (IBRD),
• International Development Association (IDA),
• International Finance Corporation (IFC),
• Multilateral Investment Guarantee Agency (MIGA), and
• International Centre for Settlement of Investment Disputes (ICSID).

Each of these agencies specializes in a specific task to help to improve the living conditions in its member countries.

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