Vocabulary

permanent — постоянный annual — ежегодный

machinery — оборудование, to avoid ~ избегать, остере-

механизм гаться

collaboration - сотрудииче- tenet - основополагающий

ство принцип

to facilitate - способствовать embodied - воплощенный,

to monitor - наблюдать, содержащийся в чем-

контролировать либо stockpiles — запасы amendment - поправка to seek - искать supplementary - дополни­тельный enunciation - изложение contingency - возможность exogenous - экзогенный

General understanding:

1. What is the function of International Monetary Fund?

2. What do IMF monitor's members do?

3. What are the daily affairs if IMF?

4. When was IMF established?

5. What are the most important milestones in the history of IMF?

1. Translate into Russian:

A. The IMF's charter was agreed upon at the International Monetary and Financial Conference.

B. Inception of the buffer stock financing facility, which can be used to finance commodity stockpiles

C. Adoption of the first amendment to the Articles of Agreement, providing for the allocation of special drawing rights (SDRs) to member countries

D. Establishment of the supplementary financing facility to make additional resources available to member countries

E. Expansion of the compensatory financing facility to include a contingency financing element under which additional financing may be provided to support adjustment programs

2. Make some research to make the modern (80s-90s) history of imf complete (Use Internet as a source of information):

date	activity	impact on the world economy

3. Complete the table revealing the impact of IMF on Russia,,

date	decision	Impact on the economy of Russia

Questions for discussion:

1. What events in World history took place when IMF had been founded?

2. What events in the latest history of IMF had the greatest impact on Russia's modern history?

SgText 2

Imf's anatomy

As of December 1991 the IMF was composed of 156 member countries; in addition, a number of republics of the former U.S.S.R. were in the process of joining the organization. Each member is represented by a governor on the IMF's Board of Governors, most of whom are ministers of finance, presidents of the country's central bank, or persons of similar rank. Virtually all day-to-day policy decisions are delegated to the Executive Board, which is made up of 22 representatives of the member countries. The Executive Board is presided over by the managing director, elected for a 5-year term, who is also chief of staff of the IMF.

Each member has a quota which is based on a complex formula that takes account of the country's size and its general importance in world trade and finance. The quota determines the amount of financial resources the member has to make available to the IMF (subscription) and its access to the Fund's facilities, its entitlement to SDR allocations, as well as its voting power. Part of each member's subscription is paid in reserve assets, and the remainder in the member's own currency.

Operations

IMF member countries may utilize the Fund's resources if they find themselves in balance of payments difficulties. Drawings normally will be in the context of policy measures - an adjustment program - intended to correct the balance of payments position and are linked to progress under that program. Technically, use of the Fund's resources takes the form of a member using its own. currency to purchase other currencies (or SDRs} held by the IMF. Drawings on the Fund's resources that do not exceed 25 percent of the member's quota normally require that the member make a reasonable effort to overcome its balance of payments problem. Purchases beyond that amount - i.e. drawings in the so-called upper credit tranches -~ usually are made in the context of an adjustment program. Repayments to the IMF are normally to be made within 3 to 5 years, but under the extended facility the country may have up to 10 years to repay the financing provided by the Fund.