When did the IMF start functioning ?

The correct answer is 1945.

Key Points

• International Monetary Fund (IMF):
  • The formation of the IMF was initiated in 1944 at the Bretton Woods Conference.
  • The IMF officially began operating on March 1, 1947, when the first 29 countries signed its Articles of Agreement.
  • Headquartered in Washington, D.C.,
  • IMF focuses on fostering global monetary cooperation, securing financial stability, facilitating and promoting international trade, employment, and economic growth around the world.
  • The IMF is a specialized agency of the United Nations.
  • The IMF became operational on 27th December 1945 with 29 member countries that agreed to bound to this treaty.
  • It began its financial operations on 1st March 1947.
  • Countries were not eligible for membership in the International Bank for Reconstruction and Development (IBRD) unless they were members of the IMF.
  • Structure of the International Monetary Fund (IMF):

Additional Information 

• Objectives of the IMF:
  • I  MF was developed as an initiative to promote international monetary cooperation, enable international trade, achieve financial stability, stimulate high employment, diminish poverty in the world, and sustain economic growth.
  • Initially, there were 29 countries with the goal of redoing the global payment system.
  • Today, the organization has 189 members.
  • The main objectives of the International Monetary Fund (IMF) are mentioned below:

1. To improve and promote global monetary cooperation of the world.
2. To secure financial stability by eliminating or minimizing the exchange rate stability.
3. To facilitate a balanced international trade.
4. To promote high employment through economic assistance and sustainable economic growth.
5. To reduce poverty around the world.