Which of the following is/are source of IMF’s financing? 1. Quotas 2. New arrangement to borrow 3. Standby arrangement Select the correct answer from below given codes: |ForumIAS

[A] Only one

[B] Only two

[C] Only three

[D] None

Answer: B

Notes:

Explanation: Source of funding in IMF – Quotas are the IMF’s main source of financing.

Each member of the IMF is assigned a quota, based broadly on its relative position in the world economy.
The New Arrangement to Borrow (NAB) constitutes a second line of defense to supplement IMF resources.
Bilateral Borrowing Agreements serve as a third line of defense after quotas and the NAB.

Source: FORUMIAS