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)

Role of IMF in development of developing countries: (1) address emergency balance of payment crisis through tools side, extended fund facility, special drawing rights. (2) poverty alleviation in developing countries (5) poverty and growth fund (3) finance the inadequate resources available for growth (4) enhance good governance practices and structural reforms in economy (5) liberalization of Indian economy Criticisms associated with IMF: (1) Paternalism - acquire responsibility of framing domestic policies (2) loss of sovereignty as economic policies must be made by government (3) under representation of developing countries and global south in decision making (4) ineffectiveness in controlling cross border terrorism of Pak - bailout during operation Endor (5) western imperialism - shift interest of western countries

continued from previous page: IMF must be reformed in line with changing global order. Criticisms associated with IMF: (1) Paternalism - acquire responsibility of framing domestic policies (2) loss of sovereignty as economic policies must be made by government (3) under representation of developing countries and global south in decision making (4) ineffectiveness in controlling cross border terrorism of Pak - bailout during operation Endor (5) western imperialism - shift interest of western countries IMF must be reformed in line with changing global order.