The International Monetary Fund’s bailout is the funding and finances that extend to crisis countries. Its website details some information about the IMF, a global organization dedicated to achieving sustainable growth and prosperity for its 191 member states. This is done by supporting economic policies that promote financial stability and monetary cooperation, which is crucial to improving productivity, creating jobs and economic well-being. The IMF is governed and responsible by its member states.
It is worth noting that the International Monetary Fund was founded in 1944 in the Great Depression of the 1930s.
IMF's bailout explanation
Mainly, international institutions provide financial assistance to countries hit by the crisis, allowing them to create breathing space while resorting to policy adjustments to restore economic stability and growth.
In addition, the IMF has expanded its preventive loans to prevent and defend against crises.
Crisis situation where the IMF provides relief
These crisis situations can also be varied and complex, and in some cases may be caused by domestic, external or two factors. As the International Monetary Fund (IMF) mentioned, countries close to the International Monetary Fund (IMF) face many crises, which is a sectoral challenge.
IMF is clear at a glance
As of May 2, 2025, the organization's commitments approved was $26.6 billion, while expenditures were $26.6 billion. (These numbers are calendar year by year.
How does IMF loans work or help?
First, IMF loans or bailouts allow national leeway in crisis planning and reorienting its policies to sustainably grow. Although these policy adjustments will depend on the situation in the country. For example, countries facing acute capital outflows need to recover and strengthen investor confidence.
Similarly, in the case of the country facing a balance of payments (BOP) crisis, without timely financial loans from the IMF, the country will need to make a sharp economic adjustment that could be harmful to its economy.
Importantly, IMF loans are also accompanied by many corrective policy actions.
The IMF's main rescue history
In 2018, it received a $57 billion bailout from Argentina. This remains the largest arrangement of the IMF in terms of the amount it is designed to resolve and the financial crisis.
Greece received two bailouts supported by the IMF for alleviating the severe debt crisis.
South Korea received a $57 billion rescue plan during the Asian financial crisis.
Why does the IMF attract people's attention?
As India-Pakistan War escalates, the IMF has reached the forefront of the intensified Indian War, which recently approved substantial packaging for economically distressed Pakistan. On May 9, the IMF Executive Committee approved the payment of approximately US$2.4 billion to the country as part of two plans.
