IMF member states have agreed to increase their contributions to the global lender and to give Africa a third seat on its Executive Board, the International Monetary Fund announced on Saturday in Marrakech, Morocco.
IMF officials urged their members to step up funding for the institutions, so that they can better support governments in the fight against poverty and climate change.
“We have come together on the importance of boosting inclusive and sustainable growth by advancing on our climate and digital agendas. We maintain strong support for efforts to address debt vulnerabilities. We celebrated the closure of the financing gap of the Poverty Reduction and Growth Trust to continue helping most vulnerable members,” said Nadia Calvino, IMFC Chair.
These points were among the stated objectives of the annual meetings of the IMF and World Bank that are to reach their conclusions Sunday.
At present, the distribution of quotas favours the advanced economies, particularly the European countries, to the detriment of the major emerging countries, led by China and India, which have been calling for a reform of the system for several years.
But while Western countries say they are open to the idea in principle, they are actually reluctant, fearing that China's role within the IMF will be strengthened.
“It is time for solidarity. But solidarity, when there is so much tension, is hard to build. And yet we have succeeded to do so. We are finishing our meetings with four objectives we have set up for ourselves before the meetings, all achieved” concluded Kristalina Georgieva, IMF Managing Director.
Although the distribution of votes has not been changed, the IMF has agreed to expand its Board from 24 to 25 members, to give an additional seat to Africa, which until now has held two.
The meetings are being held on the African continent for the first time since 1973.