The World Bank and the IMF, collectively known as the Bretton Woods Institutions, are the two inter-governmental pillars supporting the structure of the world’s economic and financial order. Superficially, the World Bank and the IMF exhibit many common characteristics, yet their role, functions and mandate are distinctly different. Elucidate.

World bank and IMF:

• the countries willing to become the members of World Bank, has to be the member of IMF • the European Union and U.S.A play an important role in determining the presiding country for the term

Roles and functions:

(1) World Bank defines the countries as developed and developing countries

(2) World bank mainly funds for the developmental projects in developing countries: ex: Dams rehabilitation in India, (3) Through International finance corporation i.e private arm of World bank assists private institutions to undertake development activities. (4) Mediates between countries to resolve the disputed issues. ex: World bank mediated the Indus water treaty between India and Pakistan. (5) IMF through the 'Quotas' helps developing and developed nations to maintain economic stability.

(6) release of various reports like

• World Development Report - World Bank
• Global financial Stability Report - IMF to compare the countries and provide authentic data.

Issues: (1) Disputes b/w the countries in determining developed v/s developing (2) overlapping issues in finances (3) Non-payment by the countries.