The role of the IMF (international monetary fund) in helping poor and Case Study

The role of the IMF (international monetary fund) in helping poor and debt-troubled countries - Case Study Example tated that the IMF was created for the following purposes: to promote the global monetary and the exchange stability, facilitate the expansion and a balanced growth of international trade and helping in the establishment of a multilateral system of payments for current transactions. This paper is going to discuss why the IMF have to help out poor and dept troubled nations, conditions that borrowing countries need to meet to be eligible for the loans and the ethical foundations the IMF use to help out nations that are already in dept. The paper will further discuss if the loans harm or help in the development of poor countries and debt troubled nations and if the IMF and their policy makers have undisclosed purposes to pursue certain policy objectives. Carin and Wood (2005) stated that the IMF plays a major role in the global monetary system, which involves lending funds to countries having problems to pay off their debts, providing fund surveys, and monitoring the financial and economic developments in member countries. The IMF provides training and technical assistance for countries that request it hence enabling the poor and debt-troubled nations to alleviate problems of poverty and provide the citizens with their basic needs. Gould (2006) stated that the IMF helps the poor and debt troubled nations to handle balance of payments difficulties, ensure stable economies and restoration of economic growth in the various countries. The IMF programs help in unlocking financial opportunities for the poor countries because the program serves as a signal that countries have adopted reinforcing policy credibility and sound policies that increases the investor’s confidence. The countries eligible for borrowing loans from the IMF need to be members of the organization. Boughton (2001) stated that member countries could request for assistance if it has a balance of potential or actual payments need. This is when the country cannot find enough finances on affordable terms

Guildford Site Development Appraisal Essay Example | Topics and Well Written Essays - 2000 words

Guildford Site Development Appraisal - Essay Example Considering that the scheme is not fully pre-let, a higher rent is obtainable so long as it remains competitive. Under this scheme, the difference between the Developer’s fee and the minimum rent going to the fund is split between them at share percentage agreed early on. If the two parties opted for tranches of rent, then computation would proceed as in the following section. The use of mortgages is widely used in the industry for long-term funding. What the developer can offer as security is the first constructed building. Mortgages serve as a source for capital for the next phase construction and can also be used to pay accrued interests. A forward sale is when a party agrees to purchase part or the whole of the development after it is completed. Payment occurs at an agreed scheme but a part of it is usually paid beforehand. The money from the sale can serve as the capital for the succeeding phases of the development. The Local Authority may have the necessary funds to build the proposed development. This may work for the developer as he no longer needs to expose himself to risks of interest rates and pressure from repayment schedule. However, it is highly unlikely that the Local Authority would concentrate such a larger amount of their budget to the venture. Profit erosion with priority yield is a convenient way to finance the development project. However, the developer should determine whether he will avail of short-term, long-term or a combination. With the right choice, he may even realize a profit from the payments. Construction mortgages are offered by a variety of various institutions. Availing of one especially in financing construction projects is widely practiced. It falls upon the developer to find the bank with the least interest rate and flexible repayment schedule appropriate for the development. However, some developers have established such a good reputation that they obtain certain perks.