The paper "Role of IMF in Money and Banking" is a good example of a macro and microeconomic essay. This paper outlines an overview of IMF roles in money and banking in developing countries. The paper explains obstacles to banking in developing nations. It also explains how mobile banking has transformed the banking sector in developing countries. The paper describes and discusses some of its key dilemma that has faced the IMF. For instance, research on IMF supported programs to generate results that are varying depending on the time period that it was covered as well as the methodology that was used for estimation.
IMF has faced criticism because of its involvement in developing countries. Some of the programs have also been criticized as being unsustainable and encourage global warming. IMF programs in countries such as Korea have led to the loss of jobs among its citizens. Just like a double-edged sword, IMF programs have alternately led to increased development as well as a decline in productivity of some countries. Issues associated with banking In developed countries, both the poor and the rich have bank accounts; this is not the case in developing nations, according to a study conducted by Gallup/World Bank.
Richest adults in the least developed nation are more than twice the poorest adults with accounts in the bank – 62% vs. 24% respectively. % banked Poorest 24 Second income quintile 34 Third income quintile 42 Fourth income quintile 50 Richest 62 In developing countries, the problem of not having bank accounts is aggravated by limited access to formal financial institutions this implies that adults cannot save and borrow regularly so that they can have investments in their business or education. Globally about 2.5 billion people do not have bank accounts and most of these people without bank accounts are located in developing nations. Differences in account penetration across different income quintiles, most individuals in developing countries consider a lack of money to be the main reason for them not having a bank account.
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