economics hard True/False

In the International Monetary Fund (IMF), a member country's voting power and its quota allocation are strictly based on the principle of 'one country, one vote', ensuring absolute equality among all member nations.

  1. True
  2. False

Answer: False

Unlike the UN General Assembly, the IMF operates on a weighted voting system based on a country's financial quota, which reflects its relative size in the global economy. Consequently, advanced economies like the US and EU nations hold disproportionate voting power, while the US effectively holds veto power over major structural decisions that require an 85% supermajority.

Topic International Economics - Institutions
Exam Relevance UPSC Prelims, SSC CGL
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