Question

Which of the following statements is true about the role of the International Monetary Fund?

A. It never interfered in the monetary and fiscal conditions of its member countries.

B. It was authorized to approve currency devaluations of only up to 10 percent.

C. It required member countries to adhere to specific agreements irrespective of the amount of funds the countries borrowed.

D. It lent money under the International Bank for Reconstruction and Development (IBRD) scheme and a second scheme which is overseen by the International Development Association (IDA).

E. It helped deficit-laden countries bring down inflation rates by providing short-term foreign currency loans.

Answer

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