- This proposal is now set to be considered and made effective by the board of governors as part of concluding the 16th general review of quotas.
- The quota increase is intended to enhance the IMF’s permanent resources and strengthen the quota-based nature of the Fund by reducing the reliance on borrowing.
- This move is seen as a crucial step in preserving a strong, quota-based, and adequately resourced IMF at the center of the Global Financial Safety Net.
- The proposal also includes a call for work to develop, by June 2025, possible approaches as a guide for further quota realignment, which aims to better reflect members’ relative positions in the world economy while protecting the quota shares of the poorest members.
Question:
Q.1 What is the proposed increase in the quota allocated to members by the IMF executive board?a. 10%
b. 25%
C. 50%
d. 75%
