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• To facilitate expansion of balanced growth of international trade and to
contribute thereby to the promotion and maintenance of high levels of
employment and real income,

• To promote exchange stability with a view to maintain orderly.

Functions of IMF various functions are performed by the IMF to achieve the
aforesaid objectives. Some of the important functions of IMF include:

• Acting as a short-term credit institution;

• Providing machinery for the orderly adjustment of exchange rates;

• Acting as a reservoir of the currencies of all the member countries, from
which a borrower nation can borrow the currency of other nations;

• Acting as a lending institution of foreign currency and current transaction;

• Determining the value of a country’s currency and altering it, if needed, so as
to bring about an orderly adjustment of exchange rates of member countries;
and

• Providing machinery for inter - national consultations.

World Trade Organization (WTO)

World Trade Organization (WTO) and Major Agreements On the lines of IMF
and the World Bank, it was initially decided at the Bretton Woods conference to
set up the International Trade Organization (ITO) to promote and facilitate
international trade among the member countries and to overcome various
restrictions and discriminations as were being practiced at that time. But the
idea could not materialize due to stiff opposition from the United States.

We can state more explicitly the following as the major objectives of WTO:

• To ensure reduction of tariffs and other trade barriers imposed by different
countries;