The role of international institutions and
non-government organisations (NGOs)
The World Bank and IMF are
sometimes called the Bretton Woods Institutions. They aim to provide structure
and stability to the world’s economic and financial systems. Almost every
country is a member of both institutions. The governments of each member
nations own and direct the institutions. The World Bank mainly focuses on
development. The IMF tries to keep payments and receipts between countries
logical and ordered.
o World Bank
The World Bank can loan
funds to member countries, and its aim is to promote economic and social
progress by raising productivity and reducing poverty. The World Bank is
involved in several projects globally, such as providing microcredit,
supporting education, and helping the rebuilding of countries after
earthquakes.
o
International Monetary Fund (IMF)
The IMF aims to promote
monetary cooperation between nations, and monetary problems can be consulted in
the institution. It also aims to help free trade globally, so jobs are
supported. The IMF promotes exchange rate stability, and tries to avoid
competitive depreciations in the currency. Members can also borrow from the
IMF, such as if they need to correct an imbalance in the balance of payments.
NGOs
NGOs could be funded by
governments, firms or private individuals, but they are not part of governments
or for-profit businesses. They are voluntary groups which aim to raise the
voices of ordinary citizens. Usually, they focus on particular issues such as
human rights, healthcare or the environment.
