Strengthening the Global Financial Architecture and the Reform of IMF and the World Bank

Abstract

The paper firstly analyses the agendas and progress in strengthening the architecture of the International Financial System after the Asian crises, including introduction of prudential regulation, promotion of private involvement, quest of adequate exchange regime, prevention of financial crisis etc.Secondly the paper discusses the function focusing of the two Breton Woods institutions.IMF would restructure its role to play in macro-economic surveillance and lend in the short span, and the World Bank would take initiative in poverty alleviation and development.Thirdly the paper reviews the recent increase in number and scope of structural conditionality in IMF-supported programs and proposes the radical change from the viewpoint of ownership and participation.