Discuss the role of the International Monetary Fund (IMF) in the development of developing countries. What are the key criticisms associated with its approach? (Answer in 150 words)

Recently IMF was criticized for extending bailout package of $100 billion to Pakistan in the wake of Rebeligum terror attack (May 2025) IMF is a bretton woods institution that seeks to promote financial stability & aid countries in balance of payment crisis. Role in development: 1) Extends Emergency assistance to stabilize economies of member nations 2) Bailout packages - in case of forex shortage 3) Pushes developing countries to

carry out financial & monetary policy Reform G Austerity measures Criticisms with its approach: 1) Conditionalities - impinges on sovereignty of nations 2) Lack of due diligence in extending credit eg Pakistan's state sponsorship to terror 3) Imposition of stringent reform measures - could hurt domestic economies G Protests in Nigeria against IMF mandated Tax & hikes 4) Ineffective monitoring of fund utilization As per Niksingh & Larry Summers, IMF needs to be reformed to promote inclusive global development