Voting rights in the IMF are distributed on the basis of

BANKING GENERAL KNOWLEDGE

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

A	one country, one vote
B	proportion to the share of the income of the country in the world income
C	proportion to contributions given by each country
D	proportion to quota allotted to countries from time to time

Explanation:

Detailed explanation-1: -Voting power in the IMF is purely based on a quota system. So, voting rights in the IMF are distributed on the basis of proportion to quota allotted to countries from time to time.

Detailed explanation-2: -Unlike the United Nations General Assembly, where each country has one vote, voting power and decision-making at the IMF reflect its member countries’ relative economic position.

Detailed explanation-3: -Quotas are the IMF’s main source of financing. Each member of the IMF is assigned a quota, based broadly on its relative position in the world economy. The IMF regularly reviews quotas to assess their adequacy overall and their distribution among members.

Detailed explanation-4: -India’s quota in the IMF, which determines voting shares in the multi-lateral lending agency, is 2.75 per cent.

Detailed explanation-5: -7. Which of the following statement is NOT correct about the quota at the IMF? Explanation: China has third highest quota in the IMF.

There is 1 question to complete.