Following institutions have shaped the current era of globalization-
(a) International Monetary Fund (IMF),
(b) World Bank, and
(c) World Trade Organisation (WTO).
These institutions were set up by the United States and the United Kingdom after the World War II.
- International Monetary Fund:
It was created by the U.S. and the U.K. in the Bretton Wood Conference in New Hampshire in 1944. It was created to make laws so as to enable countries of the world to maintain the value of their currencies and to pay their debts.
- World Trade Organisation:
It was organised in 1948 at United Nations Conference in Havana, Cuba. The aim of its organisation was to lower the tariffs (taxes on imported goods) and to encourage trade.
- World Bank:
At Bretton Woods Conference in New Hampshire, in 1944; the United States and the United Kingdom had established another institution also which was named as the International Bank for Reconstruction and Development (IBRD).
This bank was established in view of financing and rebuilding Europe after the World War II.
Later it was started to be known as the World Bank.
Its aim was modified to help developing countries so that they may grow faster and to provide a higher standard of living to their people. In 1968, the World Bank shifted its focus on low-cost loans for education, health and basic needs of the poor people of the developing world.
