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7. International Monetary Fund (80-85)

THE INTERNATIONAL MONETARY FUND

The International Monetary Fund is an intergovernmental organization based on a treaty drafted at Bretton Woods in 1944, and membership of the Fund is a prerequisite of membership of the World Bank.

The essential purpose of the Fund is to promote international monetary cooperation and thereby foster expanded international trade. It is a permanent forum where countries can work to coordinate their economic and financial policies, and is concerned not only with the problems of individual countries but also with the working of the international monetary system.

The work of the Fund is carried out by a Board of Governors, an Executive Board, a Managing Director, and staff. Each member country is represented by a Governor and an Alternate Governor on the Board of Governors, which is the Fund's senior decision-making body.

Member countries of the Fund may make use of its technical assistance for helping to improve the management of their econo­mies. Experts sent to member countries by the Fund advise on fiscal, monetary, and balance of payments policies, central and general banking, statistics, accounting, exchange and trade systems, and operational aspects of Fund policies.

  1. The International Court of Justice (74-75)

The International Court of Justice is situated at The Hague and is the principal judicial organ of the United Nations. It functions in accordance with the provisions of its Statute to which all members of the United Nations automatically subscribe. The Court is composed of fifteen suitably qualified judges elected by secret ballot by the General Assembly and by the Security Council (independently) for a term of nine years. They retire in groups of five every three years (their re-election is permitted); and no two judges may be nationals of the same state.

Access to the Court is open to states which subscribe to its statute, and to non-subscribing states under certain conditions. The functions of the Court are twofold: to give judgment on all contentious cases referred to it by states by mutual consent, and on all matters specially provided for in the United Nations Charter, in treaties or in conventions; and to give advisory opinions in legal questions referred to it by any branch of the United Nations or its Agencies. The Court will normally base its decisions on International Law, but it may also reach a decision, if both parties agree, ex aequo et bono, i.e. on general principles of fairness and natural justice.

A state may at any time lodge a declaration to the effect that it recognises as compulsory, in relation to any other state accepting the same obligation, the jurisdiction of the Court in certain specific instances. These are listed in article 36(2) of the Statute (the so-called 'Optional Clause'), namely:

(a) the interpretation of a treaty;

(b) any question of international law;

(c) the existence of any fact which, if established, would constitute

a breach of an international obligation; (d) the nature or extent of the reparation to be made for the breach

of an international obligation.

The declaration may be made unconditionally; on condition of reciprocity on the part of several or certain states; or for a certain time. In practice the forty-seven states that have lodged declarations in terms of article 36 have tended to add other provisos.

The official languages of the Court are English and French, but the Court is bound to allow a party to use whatever language it chooses. The procedure consists of two parts: written and oral, and the hearings in Court are public unless the Court decides otherwise or the parties concerned so desire. All questions are decided by a majority vote of the judges present, and in the event of an equality of votes the President or the judge who acts in his place has a casting (i.e. deciding) vote. A judgment is final and without appeal, though the court may subsequently recognise the discovery of fresh evidence of a decisive nature, and permit an application for a revision of a judgment to proceed. Since its inception, the Court has delivered fifty-four judgments in addition to advisory opinions.

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