Articles Of Agreement Of The International Monetary Fund

The Fund shall report annually on the restrictions in force under Section 2 of this Article. Each Member which maintains restrictions inconsistent with Sections 2, 3 or 4 of Article VIII shall consult the Fund annually with respect to their subsequent withholding. The Fund may, if it considers that such a measure is necessary in exceptional circumstances, recognize to any Member that the conditions are favourable to the withdrawal of a particular restriction or to the general lifting of restrictions inconsistent with the provisions of the other Articles of this Agreement. The member shall have a reasonable period of time to reply to such statements. If the Fund finds that the Member retains restrictions inconsistent with the objectives of the Fund, the Member shall be subject to Article XXVI, Section 2(a)(5). If a Member has reached an agreement with the Fund in accordance with Article 3, the Fund shall use the currencies of other Members allocated to it in accordance with point 2(d) to exchange the currency of that Member, which shall be granted to other Members which have concluded agreements with the Fund in accordance with point 3. Any amount so collected shall be cashed in the currency of the member over whom it has been distributed. After the date of termination, the Fund shall pay interest on the outstanding special drawing rights that exist according to an outgoing participant and the resigning participant shall pay the fees for all outstanding obligations due to the Fund, at the times and rates set out in Article XX. Payment shall be made in special drawing rights. a participant resilises the right to obtain special drawing rights with a currency freely usable to pay fees or investments in a transaction with a participant designated by the Fund or by the agreement of another holder, or to have special drawing rights perceived as interest on a transaction with a participant designated in accordance with Article XIX; Section 5 or by appointment with another holder.

Recognizing that the main objective of the international monetary system is to create a framework facilitating trade in goods, services and capital among countries and to maintain sound economic growth, and that one of the main objectives is to further develop the orderly framework conditions necessary for financial and economic stability, each Member undertakes to: cooperate with the Fund and other members to ensure orderly exchanges and promote a stable exchange rate system. In particular, each member shall: 7. If an amendment is proposed, the Fund shall approve the proposed nominal value within a reasonable time of receipt of the proposal or has raised objections. The Fund agrees if it is satisfied that this change is necessary to correct or prevent a fundamental imbalance. The Fund has not raised any objections to the national social or political policy of the member proposing the amendment. A change in the proposed nominal value shall not take effect for the purposes of this Agreement if the Fund objects. If a Member changes the nominal value of its currency despite the opposition of the Fund, the Member shall be subject to Article XXVI(2). The Fund will advise against the maintenance of an unrealistic face value by a member. 1. Where the commitment remaining after the clearing referred to in point (b) of Article XXIV(2) is concluded by the resigning participant and if the transaction agreement between the Fund and the participant terminating it within six months of the date of termination, the Fund shall terminate that balance of the Special Drawing Rights in equal half-yearly instalments within a maximum period of five years from the date of termination. The Fund shall pay that balance, in accordance with its disposition, either by paying to the resigning participant the sums that the remaining participants have made available to the Fund in accordance with Article XXIV, Section 5, or by authorizing the resigning participant to use its special drawing rights to obtain its own currency or a freely usable currency from a participant designated by the Fund; the general resources account or any other holder.

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