International financial organizations, their essence in the world market economy

The market is not only economic regulation within one state taken. The whole world has close cooperation in the political, social, economic and other spheres of life. Monetary and credit relations between countries are the most difficult side of the world market. They cover the development problems of the entire world community and each individual country. With the development of market relations, the money flows between countries also increase. The basis of these relations is formed by international financial organizations.

They are formed by agreement between countries. The purpose of such institutions is to control and regulate economic, and especially financial transactions between individual states. There are also major international financial institutions.

International financial relations began with the emergence of the bank for international settlements. It happened in 1930 in Basel. At the head of this action stood the banks of Italy, Britain, Japan, Belgium, Germany and several large US banks. The purpose of such a bank was to simplify settlements with Germany on military debts and further financial cooperation between countries.
Since 1979, this bank has become an intermediary between the countries that are part of the European Monetary System. He simplifies the calculations associated with operations for the sale of coal and steel. About 30 countries of the European region use the services of this bank.

The International Monetary Fund, this is one of the main organizations of this category. It has a direct bearing on the activities of the United Nations. The foundation was established in 1944, but its activities began only in 1947. The fund's office is located in Washington, but it also has a branch in Paris.

The IMF is divided into five branches: Europe, Asia, Africa, the East and the Western Hemisphere.

Like all the numerous international financial organizations, it helps to improve trade between countries, establish monetary relations, regulate exchange rates and supervise the entire network of financial transactions. In addition, the fund is dedicated to allocating funds to individual states in order to balance their solvency.

The IMF's financial system is built on the monetary contributions made by the countries that make up its membership. They depend on the degree of development of the market and the economy of these states. Manage the activities of the fund representatives from each country, who every year gather to solve problems and problems.

But these are not the only international monetary organizations.
Another bank for reconstruction and development of international importance is organized at the UN and provides assistance to countries in the development of the economy. It provides loans and loans to needy states. The bank's income consists of loans using bonds and equity.

The following international financial organizations of the world level have been established as auxiliary institutions: an international financial corporation, a development association and an investment guarantee agency. All of them help the work of the IBRD.

The European Union also has its own international financial organizations of this level.
These include the European Investment Bank, which provides loans to countries with a backward economy, aimed at developing the structure of production and development of the state.

The European Monetary Cooperation Fund provides loans to countries that are members of the European Union for currency transactions.

The European Bank for Reconstruction and Development is assisting in the implementation of reforms in European countries, which are aimed at developing market relations.
Apparently, the activities of financial organizations of this level are aimed at promoting and developing the economy of all member countries. The activities of various states in the world market are inextricably linked. Therefore, it is very important to maintain an optimal world balance in the financial world market.