Members quota in imf, Microeconomics

Member's Quota in IMF 

Quota represents the subscription by a member country to the capital fund of the IMF. Quotas are fixed for each country, taking into account such factors as the country's national income, reserves, export variability and the ratio of exports to national income. Apart from representing the subscription of a country to the IMF, the quota also forms the basis for determining its drawing rights from the IMF, its voting power and share in the allocation of Special Drawing Rights (SDRs). Twenty five per cent of a country's quota is to be contributed in the form of SDRs or foreign exchange and 75 per cent in the country's own currency. Quotas are reviewed by the IMF at periods of not more than five years. Since its inception, with initial size of quotas placed of about $7.5 billion for 40 member-countries, including India, the total quota of the Fund presently stands at SDRs 212.6 billion (about $310 billion). The largest share of 17.5 per cent belongs to the USA, while the smallest share belongs to Palau (0.001 per cent). Each country's voting power is the sum of its "basic votes" and its quota-based votes. Each IMF member has 250 basic votes plus one additional vote for each SDR 1,00,000 of quota.  Each member's quota is the most fundamental element in its financial relationship with the IMF. It determines the amount of financing it can receive from the IMF and its share in SDR allocations.   

Posted Date: 11/15/2012 12:54:13 AM | Location : United States







Related Discussions:- Members quota in imf, Assignment Help, Ask Question on Members quota in imf, Get Answer, Expert's Help, Members quota in imf Discussions

Write discussion on Members quota in imf
Your posts are moderated
Related Questions
Diversification  - Assume that a firm has a choice of selling air conditioners, heaters, or both of them. - The probability of it being hot or cold is 5%. - The firm woul

Economic Cycle The economic cycle is the long-standing sample of alternating times of economic growth (expansion) and decline (recession), followed by changing economic indica

what are the criticisms of modern theory of rent?

a. Generally, there will be a difference between the CV and the EV. Why? b. The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it

Dialectic Inquir y It is a technique for group decision making in which members are forced to "debate" both sides of a matter. Dialectic inquiry forces consideration o

why slopes of is and lm curves affect effectivness of fiscal and mnetary policy?

TRADE policy: The well known economist D. H. Robertson has immortalized the role of trade in development with his famous statement that "trade is an engine of growth". The pol

Economic appraisal - Appraisal , which seeks to quantify, and where possible calculate the welfare impacts from, the costs and benefits of a project or policy.

#questThe demand for and supply of labour in a certain industry are given by the equations Nd = 400 - 2w Ns = 240 + 2w Where Nd ( is the number of workers employers want to hire

Problem 1: i) Distinguish between the different types of concentration measures. ii) Derive and explain the Dorfman and Steiner (1954) condition for optimal advertising.