The goals of the International Monetary Fund are to:

(i)

Promote international monetary cooperation through a permanent institution providing a mechanism for consultation and collaboration on international monetary issues.

(ii)

To facilitate the expansion and harmonious development of international trade and thus contribute to the establishment and maintenance of high levels of employment and real income and the development of the productive resources of all Member States, Primary economic policy objectives.

(iii)

Promote exchange rate stability, maintain orderly exchange rate regimes among member states and avoid competitive exchange rate depreciation.

(iv)

Assist in the establishment of a multilateral system for the settlement of current transactions between Member States and the elimination of exchange restrictions that impede the development of world trade.

(v)

To give confidence to the Member States by putting the general resources of the Fund temporarily at their disposal through adequate safeguards, thereby providing them with an opportunity to correct the imbalances in their balances of payments without any Use measures that are detrimental to national or international prosperity.

(vi)

In accordance with the above, shorten the duration and reduce the size of the Member States' balance of payments imbalances.

In all its policies and decisions, the Fund is guided by the goals set out in this article.

Section 1: Originating Members

Members from the Fund shall be members of the countries which, having participated in the United Nations Monetary and Financial Conference, gave accession before 31 December 1945.

Section 2: Other members

Other countries have the option of becoming members of the Fund on dates and in accordance with the conditions prescribed by the Governing Council. These conditions, including the terms of subscriptions, are based on principles that are consistent with those that apply to countries that are already members.

Section 1: Quotes and payment of subscriptions

A share, expressed in special drawing rights, is assigned to each Member State. The assessments of the Member States represented at the United Nations Monetary and Financial Conference, having acceded before 31 December 1945, are those set out in Annex A. The assessments of the other Member States shall be fixed by the Board of Governors. The subscription of each Member State shall be equal to its share and shall be paid in full to the Fund from the appropriate depositary.

Section 2: Review of assessments

(a)

At least every five years, the Governing Council shall carry out a general review of the quotas of the Member States and, if it considers it appropriate, shall propose the revision. The Fund may also consider, if it considers it appropriate, at any other time, at the request of a Member State, the adjustment of its quota.

(b)

The Fund may at any time propose an increase in assessed contributions. States that were members as at 31 August 1975 in proportion to their assessed contributions on that date for a cumulative amount not exceeding the amounts transferred under section 12, para. (f) (i) and (j), s. V of the Special Entitlements Account to the General Resources Account.

(c)

A majority of 85 % of the total number of votes allocated is required for any change in quota.

(d)

The quota of a Member State shall not be amended until it has given its consent and it has not made the payment, unless the payment is deemed to have been made, in accordance with Section 3, para. (b) of this article.

Section 3: Remittances in case of changes in assessed contributions

(a)

Any Member State which consents to an increase in its quota in accordance with the provisions of par. (a) Section 2 of this Article shall pay to the Fund, within a time limit fixed by the Fund, 25 % of the increase in special drawing rights, but the Governing Council may prescribe that payment may be made on the same basis for all Member States, in whole or in part, in currencies of other Member States specified by the Fund with the consent of these Member States or in the currency of the Member State. A non-participant shall pay in the currencies of other States, members, specified by the Fund with the consent of those Member States, the percentage of the increase which the participants shall pay in special drawing rights. The balance of the increase shall be paid by the Member State in its currency. No payment made by a Member State under this provision shall have the effect of having the effect of bearing the assets of the Fund in the currency of a Member State beyond the level from which they would be subject to committees by virtue of Section 8, para. (b) (ii), s. V.

(b)

Any Member State which consents to an increase in its quota in accordance with Section 2, para. (b) this section is deemed to have paid to the Fund an amount of underwriting equal to that increase.

(c)

If a Member State agrees to a reduction in its share, the Fund shall pay, within sixty days of acceptance, an amount equal to the reduction. This payment shall be made in the currency of the Member State and in special drawing rights or in currencies of other Member States, as specified by the Fund with their consent, to the extent necessary to prevent the Fund's assets in the currency Member State shall not be reduced to a level below the new quota, it being understood that, in exceptional circumstances, the Fund may, by giving the Member State its own currency, return its assets to that currency at a level Below the new quota.

(d)

The majority of 70 % of the total number of votes allocated is required for any decision taken pursuant to subs. (a) above, except for the fixing of a time limit and the specification of the currencies under that provision.

Section 4: Replacing the currency with securities

The Fund shall accept from any Member State, in lieu of such amount of the currency of the Member State held in the General Resources Account, which it considers not necessary for its operations and transactions, good or similar commitments Issued by the Member State or by the Depositary designated pursuant to Section 2 of Art. XIII. These securities shall not be negotiable, shall bear no interest and shall be paid for at their par value by entry to the credit of the Fund Account with the Depositary designated. The provisions of this Section shall apply not only to the currency of payment of the subscription, but also to any other currency that is due to or acquired by the Fund, and shall be extended to the General Resources Account.

Section 1: General obligations of member states

Recognizing that the essential purpose of the international monetary system is to provide a framework that facilitates the exchange of goods, services and capital among nations and promotes sound economic growth, and that a primary objective is To ensure on an ongoing basis the necessary basic conditions necessary for economic and financial stability, each Member State undertakes to cooperate with the Fund and with the other Member States to ensure the maintenance of exchange rate regimes And promote a stable exchange rate system. In particular, each Member State shall:

(i)

Seeks to guide its economic and financial policy in order to encourage orderly economic growth in a reasonable price stability, with due consideration being given to its particular situation;

(ii)

Seeks to promote stability by promoting orderly economic and financial conditions and a monetary system that is not a source of disruption;

(iii)

Avoids manipulating exchange rates or the international monetary system in order to prevent the effective adjustment of balances of payments or to ensure unfair competitive advantages vis-vis other Member States; and

(iv)

Pursue foreign exchange policies consistent with the commitments set out in this section.

Section 2: General provisions on foreign exchange

(a)

Each Member State shall notify the Fund within 30 days after the date of the second amendment to these Articles of Agreement the exchange rate regime which it intends to apply in order to fulfil its obligations under Section 1 of this Article and shall notify Time limit to the Fund for any change in its exchange rate regime.

(b)

Within the framework of an international monetary system of the nature of the one that existed at 1 ^Er In January 1976, the foreign exchange provisions could be as follows:

(i)

The maintenance by a Member State of a value for its currency in terms of the special drawing right or other denominator other than gold, chosen by the Member State;

(ii)

Cooperation mechanisms whereby Member States maintain the value of their currencies in relation to the value of the currency or currencies of other Member States;

Or

(iii)

Other exchange provisions chosen by a Member State.

(c)

In order to take account of developments in the international monetary system, the Fund, by a majority of 85 % of the total number of votes allocated, may define general exchange provisions without limiting the right of Member States to have Changes in their choice that are consistent with the purpose; and the Fund and the obligations under Section 1 of this section.

Section 3: Monitoring of foreign exchange policies

(a)

The Fund shall control the international monetary system in order to ensure its effective functioning and control the manner in which each Member State fulfils the obligations arising from Section 1 of this Article.

(b)

In order to fulfil the functions referred to in s. (a) above, the Fund shall carry out a firm monitoring of the exchange rate policies of the Member States and adopt specific principles to guide the Member States in relation to these policies. Each Member State shall provide the Fund with the information necessary for such monitoring and, at the request of the Fund, shall consult with the Fund on such policies. The principles adopted by the Fund are compatible with the cooperation mechanisms by which Member States maintain the value of their currencies in relation to the value of the currency or currencies of other Member States, thus With the other exchange provisions chosen by a Member State which are in accordance with the purposes of the Fund and the provisions of Section 1 of this Article. The principles shall respect the internal social and political guidelines of the Member States, and the Fund shall take due account, for their application, of the particular situation of each Member State.

Section 4: Parities

The Fund may decide, by a majority of 85 % of the total number of votes allocated, that international economic conditions allow for the establishment of a generalised system of exchange rates based on stable but adjustable parities. The Fund takes such a decision on the basis of the underlying stability of the world economy and, to this end, takes into account the evolution of prices and the economic growth rates of the Member States. The decision shall also be taken in the light of the evolution of the international monetary system, having regard in particular to the sources of liquidity and, in order to ensure the effective functioning of a system of parities, to the provisions under which Member States whose balance of payments is in surplus as Member States with a deficit balance must take rapid, efficient and symmetrical measures in order to achieve the adjustment, and also with regard to the Provisions on interventions and the treatment of imbalances. When making such a decision, the Fund shall notify the Member States that the provisions of Annex C become applicable.

Section 5: Currency of currencies in the territories of a Member State

(a)

Decisions concerning the currency of a Member State taken by that Member State in accordance with the provisions of this Article shall be deemed to apply to the various currencies in the territories for which the Member State has accepted the Agreement, in accordance with Section 2, para. (g), art. XXXI, unless the Member State declares that the decision relates either exclusively to the metropolitan currency or to one or more currencies which it specifies, in conjunction with the metropolitan currency and one or more currencies Specified.

(b)

Decisions taken by the Fund in accordance with the provisions of this Article shall be deemed to apply to all the currencies of the Member States referred to in paragraph 1. (a) above, unless otherwise stated by the Fund.

Section 1: Public financial institutions dealing with the Fund

Member States shall deal with the Fund exclusively through their treasury, central bank, foreign exchange stabilisation fund or any other similar public financial institution, and the Fund shall deal only with the Institutions or through their intermediary.

Section 2: Limitation of transactions and transactions of the Fund

(a)

Unless otherwise provided in this Statute, transactions on behalf of the Fund shall be limited to transactions intended to provide to a Member State, at its request, special drawing rights or the currencies of other States Members from the general resources of the Fund, which are held in the General Resources Account, in exchange for the currency of the Member State which wishes to make the purchase.

(b)

If requested, the Fund may decide to provide financial and technical services in accordance with its aims, in particular the administration of resources provided by the Member States. The operations involved in the provision of these financial services shall not be carried out on behalf of the Fund. Such services do not impose obligations on Member States without their consent.

Section 3: Conditions governing the use of the general resources of the Fund

(a)

The Fund shall adopt policies for the use of its general resources, in particular as regards confirmation agreements or similar arrangements, and may adopt, for special balance-of-payments problems, specific policies which Help the Member States to overcome the difficulties they have to balance their balance of payments, in accordance with the provisions of these Statutes, and which surround adequate guarantees for the temporary use of the general resources of the Fund.

(b)

Each Member State shall be entitled to purchase from the Fund the currencies of other Member States in exchange for an equivalent amount of its own currency under the following conditions:

(i)

The use of the general resources of the Fund by the Member State shall be in accordance with the provisions of these Statutes and the policies adopted under those provisions.

(ii)

The Member State declares that the situation of its balance of payments or reserves, or the evolution of its reserves, makes the purchase necessary.

(iii)

The proposed purchase is a purchase in the reserve tranche, or it does not have the effect of bearing the assets of the Fund in the currency of the buyer Member State to more than 200 % of its quota.

(iv)

The Fund has not previously stated, by application of section 5 of this section, section 1 of s. VI, or section 2, para. (a) art. XXVI, that the requesting Member State is not eligible to use the general resources of the Fund.

(c)

The Fund shall examine any request for purchase in order to determine whether the proposed purchase is in accordance with the provisions of this Statute and the policies adopted in accordance with those provisions, but it cannot object to requests for purchase in the Reserve band.

(d)

In laying down its policies and procedures for the selection of currencies for sale, the Fund shall take into account, in consultation with the Member States, the situation of the balance of payments and reserves of the Member States and of developments in the markets of the Member States. As well as the opportunity to arrive with time at balanced positions in the Fund, on the understanding that if a Member State declares that it intends to purchase the currency of another Member State because it wishes to obtain an equivalent amount of Its own currency offered by the other Member State, it is authorised to purchase the currency of the other State Member unless the Fund has given notice, in accordance with section 3 of s. VII, that its holdings in the requested currency have become rare.

(e) (i) Each Member State shall ensure that the assets in its currency purchased from the Fund are assets in a freely usable currency or that they may be exchanged at the time of purchase against a freely usable currency of its choice, at a rate of Change between the two currencies equivalent to the exchange rate applicable between them on the basis of section 7, para. (a) art. XIX.

(ii)

Each Member State whose currency is purchased from the Fund or obtained in exchange for a currency purchased from the Fund shall cooperate with the Fund and with other Member States in order to enable it to exchange such assets in its currency at the time of purchase, Against the freely usable currencies of other Member States.

(iii)

The exchange under para. (i) above, a currency which is not freely usable, shall be effected by the Member State whose currency is purchased, unless that Member State and the buyer Member State agree to another procedure.

(iv)

A Member State which buys from the Fund the freely usable currency of another Member State and which wishes to exchange it at the time of purchase against another freely usable currency shall exchange it with the other Member State if it does so Request. The exchange shall be against a freely usable currency chosen by the other Member State at the exchange rate referred to in par. (i) above.

(f)

In accordance with the policies and procedures adopted by the Fund, the Fund may agree to provide to a participant who makes a purchase in accordance with this section special drawing rights instead of the currencies of other Member States.

Section 4: Dispense

The Fund may, at its discretion, and in accordance with procedures to safeguard its interests, derogate from the application of one or more of the conditions set out in section 3, para. (b) (iii) and (iv), of this article, in particular with regard to member States which, in the past, have refrained from using the general resources of the Fund extensively or continuously. In order to grant such an exemption, it shall take account of the periodic or exceptional nature of the needs of the requesting Member State. The Fund shall also take into account any offer made by the Member State to pledge, as a guarantee, acceptable assets deemed by the Fund of sufficient value for the safeguarding of its interests, and it may make the grant of the Provides for the creation of such a pledge.

Section 5: Inadmissibility to use the general resources of the Fund

If the Fund considers that a Member State is using the general resources of the Fund in a manner contrary to the purposes of the Fund, it shall send a report to that Member State setting out its views and setting an appropriate response time. After presenting this report to the Member State, the Fund may limit the use by that Member State of the general resources of the Fund. If, within the prescribed period, no reply to the report has been received from the Member State, or if the reply received is not satisfactory, the Fund may continue to restrict the use by the Member State of the general resources of the Fund or, after a Reasonable notice, declare that it is no longer acceptable to use the general resources.

Section 6: Other purchases and sales of special drawing rights by the Fund

(a)

The Fund may accept special drawing rights offered by a participant against an equivalent amount of other Member States' currencies.

(b)

The Fund may provide to a participant, at its request, special drawing rights against an equivalent amount of other Member States' currencies. Such transactions shall not have the effect of bearing the assets of the Fund in the currency of a Member State beyond the level at which they are subject to committees pursuant to Section 8, para. (b) (ii) of this article.

(c)

The currencies provided or accepted by the Fund under this section shall be selected in accordance with policies that take into account the principles set out in Section 3, para. (d), or section 7, para. (i) of this article. The Fund may be a party to the transactions referred to in this section only if the Member State whose currency is supplied or accepted by the Fund consents to the use of its currency.

Section 7: Purchase by a Member State of assets in its currency held by the Fund

(a)

Any Member State shall be entitled to redeem at any time the assets of the Fund in its currency which are subject to committees pursuant to Section 8, para. (b) of this article.

(b)

The Member State which has made a purchase pursuant to Section 3 of this Article shall normally, as the situation of its balance of payments and reserves improves, redeem the assets of the Fund in its currency from the purchase And are subject to commissions under section 8, para. (b) of this article. It must redeem such assets if the Fund, in accordance with the repurchase policy it adopts and after consulting the Member State, declares to the Member State that it must redeem those assets in view of the improvement in the balance of payments situation And its reserves.

(c)

The Member State which has made a purchase in accordance with Section 3 of this Article shall, within five years after the date of purchase, purchase the assets of the Fund in its currency from the purchase and shall be subject to commissions under the Section 8, para. (b) of this article. The Fund may require the Member State to make the purchase in instalments during the period beginning three years after the date of purchase and ending five years after that date. The Fund may, by a majority of 85 % of the total number of votes allocated, change the duration of the redemption periods provided for in this paragraph. (c) but the period laid down shall apply to all Member States.

(d)

The Fund may decide, by a majority of 85 % of the total number of votes allocated, to adopt periods other than those provided for in subs. (c) above, identical for all Member States for the redemption of holdings in currencies acquired by the Fund in accordance with a special policy for the use of its general resources.

(e)

A Member State shall redeem, in accordance with policies that the Fund shall adopt by a majority of 70 % of the total number of votes allocated, the assets of the Fund in its currency whose acquisition does not result from purchases and which are subject to commissions in Under section 8, para. (b) (ii) of this article.

(f)

A decision prescribing that, in the context of a policy relating to the use of the general resources of the Fund, the redemption period under subs. (c) or (d) above is shorter than that in force under this policy, applies only to assets acquired by the Fund after the effective date of that decision.

(g)

The Fund may, at the request of a Member State, reduce the date of execution of a redemption obligation, but not beyond the maximum period prescribed for that purpose to s. (c) or (d) above, or through policies adopted by the Fund under s. (e) above, unless the Fund decides, by a majority of 70 per cent of the total number of votes allocated, that a longer period, consistent with the temporary employment of the general resources of the Fund, is justified because the fulfilment of the obligation of Repurchase within the time limit would lead to exceptional difficulties for the Member State.

(h)

The Fund may add to the policies referred to in Section 3, para. (d) in this Article, other policies which enable it to decide, after consulting a Member State, to sell in accordance with par. (b) in section 3 of this article, its assets in the currency of the Member State which have not been redeemed in accordance with this section, without prejudice to any measure that the Fund may be authorized to take under any other provision Of these Statutes.

(i)

Any redemption under this section shall be in special drawing rights or in the currencies of other Member States specified by the Fund. The Fund shall adopt policies and procedures for the selection of currencies to be used by the Member States for a redemption, taking account of the principles set out in Section 3, para. (d) of this article. Buybacks shall not have the effect of bearing the assets of the Fund in the currency of a Member State which is used in the redemption beyond the level at which such assets are subject to commissions under section 8, para. (b) (ii) of this article.

(j) (i) If the currency of a Member State specified by the Fund in accordance with par. (i) above is not a freely usable currency, that Member State guarantees that the Member State which redeems it may obtain it, at the time of redemption, against a freely usable currency chosen by the Member State whose currency has been Specified. The exchange of currencies under this provision shall be effected at a rate of exchange between the two currencies equivalent to the exchange rate applicable between them on the basis of section 7, para. (a) art. XIX.

(ii)

Member States whose currencies are specified by the Fund for redemption shall cooperate with the Fund and with other Member States to enable the Member States making the redemption to obtain, at the time of redemption, the currency specified in Exchange of freely usable currencies of other Member States.

(iii)

The exchange under para. (i) above of this paragraph. (j) shall be carried out with the Member State whose currency is specified unless the latter and the Member State making the redemption agree to another procedure.

(iv)

If a Member State which makes a redemption wishes to obtain, at the time of redemption, the freely usable currency of another Member State specified by the Fund in accordance with paragraph 1. (i) above, it shall, if the other Member State so requests, obtain from the other Member State this currency in exchange for a freely usable currency at the exchange rate referred to in para. (i) above of this paragraph. (j). The Fund may adopt regulations in respect of the freely usable currency to be provided in an exchange.

Section 8: Commissions

(a) (i) The Fund shall collect a commission on the purchase by a Member State of special drawing rights or of the currency of another Member State held in the General Resources Account against its own currency, provided that the Fund may collect Lower commission on purchases in the reserve band than on other purchases. The commission charged on purchases in the reserve band does not exceed ½ %.

(ii)

The Fund may decide to receive a commission under Stand-By Arrangements or similar arrangements. The Fund may decide to compensate between the commission due under a confirmation agreement and the commission charged under para. (i) above on purchases made under the said Agreement.

(b)

The Fund collects commissions on the average daily balances in the Member States' currencies held in the General Resources Account, to the extent that

(i)

They were acquired under a policy for which an exclusion was provided for under subs. (c) of s. XXX, or

(ii)

Exceeds the amount of the quota after the exclusion of all amounts referred to in para. (i) above.

The rates of these commissions are normally increased at given intervals during the period during which these balances are held.

(c)

If a Member State does not make a redemption which it is required to make under Section 7 of this Article, the Fund, after consulting the Member State on the reduction of the Fund's assets in its currency, may impose any committee on the Fund Act as appropriate on its assets in the currency of the Member State which should have been redeemed.

(d)

The majority of 70 per cent of the total number of votes allocated is required for the determination of the rates of commissions charged under subs. (a) and (b) above, which are uniform for all Member States, and commissions charged under subs. (c) above.

(e)

A Member State shall settle all committees in special drawing rights, provided that, in exceptional circumstances, the Fund may allow a Member State to pay commissions in currencies of other Member States specified by the Fund after consultation with the Member States concerned or in its own currency. The assets of the Fund in the currency of a Member State shall not be worn, as a result of payments made by other Member States under this provision, beyond the level from which they are subject to commissions in Under s. (b) (ii) above

Section 9: Compensation

(a)

The Fund shall pay remuneration on the amount corresponding to the excess of the percentage of the quota fixed under par. (b) or (b). (c) below, on the average of the daily balances of the Fund's assets in the currency of a Member State held in the General Resources Account, other than assets acquired as a result of purchases made under a policy that has Is subject to an exclusion in accordance with s. (c) of s. XXX. The rate of pay, which shall be fixed by the Fund by a majority of 70 % of the total number of votes allocated, shall be the same for all Member States and shall not exceed the interest rate referred to in section 3 of Art. XX or less than four fifths of this rate. When establishing the rate of pay, the Fund shall take into account the rates of commission charged in accordance with section 8, para. (b) art. V.

(b)

The percentage of the quota that is applicable for the purposes of s. (a) above is:

(i)

For each Member State which was a member before the second amendment to these Statutes, a percentage of the share corresponding to 75 % of its share at the date of the second amendment to these Statutes and, for each Member State which is Became a member after the date of the second amendment to these Statutes, a percentage of the quota calculated by dividing the total of the amounts corresponding to the percentages of share which applied to the other Member States at the time of the Which the Member State has become a member, by the total contributions of the other Member States to the same Member State Date; plus

(ii)

Amounts that he or she has paid to the Fund since the date applicable under para. (i) above, in currency or special drawing rights in accordance with section 3, para. (a) art. III; less

(iii)

Amounts received from the Fund since the date applicable under para. (i) above, in currency or special drawing rights in accordance with section 3, para. (c), art. III.

(c)

By a majority of 70 % of the total number of votes allocated, the Fund may raise the percentage of the quota which was last applicable to each Member State for the purposes of subs. (a) above, by referring to:

(i)

A percentage not exceeding 100 % which is determined for each Member State on the basis of the same criteria for all Member States, or

(ii)

100 % for all Member States.

(d)

The remuneration shall be paid in special drawing rights, provided that the Fund or the Member State may decide that the payment shall be made in the Member State's own currency.

Section 10: Calculations

(a)

The value of the assets of the Fund held in the Accounts of the General Department is expressed in terms of the Special Drawing Right.

(b)

All calculations relating to the currencies of the Member States for the purposes of applying the provisions of these Statutes, other than those of Art. IV and Annex C shall be carried out at the rates to which the Fund accounts for these currencies in accordance with Section 11 of this Article.

(c)

The currency held in the Special Remittances Account or the Investment Account shall not enter into the calculations made to determine, for the purposes of applying the provisions of this Statute, the amounts of money in relation to the quota.

Section 11: Maintenance of value

(a)

The value of the currencies of the Member States held in the General Resources Account shall be maintained in accordance with the Special Drawing Right in accordance with the exchange rates referred to in Section 7, para. (a) art. XIX.

(b)

An adjustment shall be made to the assets of the Fund in the currency of a Member State in accordance with this Section when that currency is used in an operation or transaction between the Fund and another Member State, and whenever the Fund Decides or that the Member State so requests. Payments relating to an adjustment, received or made by the Fund, shall be made within a reasonable period of time, as determined by the Fund, after the date of the adjustment, or at another time if the Member State so requests.

Section 12: Other transactions and transactions

(a)

In adopting its policies and decisions in accordance with the provisions of this section, the Fund shall take due account of the objectives set out in section 7 of the Art. VIII and the objective of avoiding any action on the price or establishment of a fixed price in the gold market.

(b)

All decisions of the Fund to carry out transactions or transactions under subs. (c), (d) and (e) below shall be taken by a majority of 85 % of the total number of votes allocated.

(c)

The Fund may sell gold against the currency of any Member State after consulting the Member State in exchange for the currency of which the gold is to be sold, on the understanding that the sale shall not have the effect of bearing, without the consent of that State Member State, the assets of the Fund in the currency of the Member State held in the General Resources Account beyond the level from which they are subject to committees pursuant to Section 8, para. (b) (ii) of this Article, and, on the understanding that, at the request of the Member State, the Fund shall, at the time of sale, exchange the currency received against the currency of another Member State, to the extent necessary to avoid such exceedance. The exchange of a currency against the currency of another Member State shall be effected after consultation of that Member State and shall not have the effect of bearing the assets of the Fund in the currency of that Member State beyond the level at which they are Subject to commissions under section 8, para. (b) (ii) of this article. The Fund shall adopt trade policies and procedures that take into account the principles applied under Section 7, para. (i) of this article. Sales made to a Member State under this provision shall be sold at an agreed price for each transaction on the basis of market prices.

(d)

The Fund may accept from a Member State gold payments in lieu of special drawing rights or currency in any transactions or transactions authorised by these Statutes. Payments received by the Fund in accordance with this provision shall be made at an agreed price for each transaction or transaction on the basis of market prices.

(e)

The Fund may sell gold held by the Fund at the date of the second amendment to these Articles of Agreement to the Member States which were members as at 31 August 1975 and who agree to purchase, in proportion to their assessed contributions on that date. If the Fund proposes to sell gold under s. (c) above for the purposes of s. (f) (ii) below, it may sell to each developing Member State which agrees to buy, the fraction of the gold that, if it had been sold under subs. (c) above, would have provided the added value which could have been distributed to that Member State under subs. (f) (iii) below. The gold which would be sold under this provision to a Member State which has been declared inadmissible to use the general resources of the Fund in accordance with Section 5 of this Article shall be sold to it where the inadmissibility has ceased, to Less than the Fund decides to sell it earlier. Gold sold to a Member State under the provisions of this paragraph. (e) is in exchange for its currency at an equivalent price at the time of sale to a special drawing right for 0.888 671 grams of fine gold.

(f)

Where, in accordance with the provisions of s. (c) above, the Fund shall sell gold held by the Fund at the date of the second amendment to these Statutes, an amount of the proceeds of the equivalent sale at the time of sale to a special drawing right for 0.888 671 grams of fine gold shall be paid to the Account General resources and, unless otherwise determined by the Fund under s. (g) below, any surplus is held in the Special Remittances Account. Assets held in the Special Remittances Account shall be segregated from the assets of the other accounts of the General Department and may be used at any time:

(i)

To make transfers to the General Resources Account for immediate employment in transactions and transactions authorized by the provisions of these Statutes other than those of this section; or

(ii)

For transactions and transactions not authorized by other provisions of these Statutes but are consistent with the purposes of the Fund. Balance of payments assistance may be granted under special conditions under this paragraph. (ii) to the developing Member States in a difficult situation, and to that end the Fund shall take into account the level of per capita income;

(iii)

For distributions to developing member States that were members as at 31 August 1975, in proportion to their assessed contributions on that date of any part of the assets that the Fund decides to use for the purposes of para. (ii) above, which corresponds to the percentage represented, on the date of distribution, by the quota of each of the developing Member States in the total shares of all Member States on the same date, on the understanding that the Distribution under this provision to a Member State which has been declared inadmissible to use the general resources of the Fund in accordance with Section 5 of this Article shall be made available to it where the inadmissibility has ceased, unless the Funds did not decide to proceed with the distribution earlier.

Decisions concerning the employment of assets under para. (i) above shall be taken by a majority of 70 % of the total number of votes allocated and the decisions under paras. (ii) and (iii) above shall be taken by a majority of 85 % of the total number of votes allocated.

(g)

The Fund may, by a majority of 85 % of the total number of votes allocated, decide to transfer part of the surplus referred to in subs. (f) above to the Investment Account to be employed in accordance with the provisions of Section 6, para. (f), art. XII.

(h) ¹

As long as the assets of the Special Remittances Account have not received the jobs provided for in paragraph (f) above, the Fund may use the currency of a Member State held in that Account to make the investments that it decides, in accordance with the Rules and regulations adopted by the Fund by a majority of seventy percent of the total number of votes allocated. Investment income and interest received under para. (ii) of paragraph (f) above shall be credited to the Special Entitlements Account.

(i)

The General Resources Account shall be reimbursed at intervals of the administration of the Special Remittances Account, through transfers from the Special Remittances Account, on the basis of a reasonable estimate of such expenditures.

(j)

In the event of liquidation of the Fund, the Special Remittances Account shall be closed; it may be concluded before the liquidation of the Fund by a decision taken by a majority of 70 % of the total number of votes allocated. Where the closure of the account results from the liquidation of the Fund, the assets held in that account shall be distributed in accordance with the provisions of Annex K. In the event of a closure prior to the liquidation of the Fund, the assets of that account shall be transferred The General Resources Account for immediate employment in transactions and transactions. The Fund shall, by a majority of 70 % of the total number of votes allocated, adopt rules and regulations governing the administration of the Special Entitlements Account.

(k) ²

Where, in accordance with the provisions of paragraph (c) above, the Fund sells gold acquired by the Fund after the date of the second amendment to these Statutes, an amount of the proceeds of the sale equivalent to the acquisition price of the gold shall be paid to the General resources account, and any surplus shall be credited to the Investment Account for use in accordance with the provisions of Section 6, para. (f) art. XII. If the gold acquired by the Fund after the date of the second amendment to these Statutes is sold after 7 April 2008 and before the date of entry into force of this provision, upon the entry into force of this provision, and notwithstanding the Limit set out in Section 6, para. (f), para. (ii) Art. XII, the Fund transfers from the General Resources Account to the Investment Account an amount equal to the proceeds of that sale less:

(i)

The purchase price of the gold sold; and

(ii)

Any amount of this product in excess of the acquisition price and having already been transferred to the Investment Account before the effective date of this provision.

Section 1: Use of the general resources of the Capital Transfer Fund

(a)

No Member State may use the general resources of the Fund to cope with large or prolonged outflows of capital, except in accordance with the provisions of Section 2 of this Article. The Fund may invite a Member State to take control measures to prevent such use of its general resources. If, after being so invited, the Member State does not take the appropriate control measures, the Fund may declare it inadmissible to use the general resources of the Fund.

(b)

Nothing in this section shall be considered to have the effect of:

(i)

To prevent the use of the general resources of the Fund for capital transactions of a reasonable amount that are necessary for the expansion of exports or necessary in the ordinary course of commercial, banking or other transactions;

(ii)

To allocate the capital movements which are financed from the resources of the Member State; however, the Member States undertake to ensure that such capital movements are in line with the aims of the Fund.

Section 2: Special provisions on capital transfers

Each Member State has the right to make purchases in the reserve tranche in order to cope with capital transfers.

Section 3: Control of capital transfers

Member States may take the necessary control measures to regulate international capital movements, but no Member State may apply such control measures in a manner which would restrict the Payments for routine transactions or to unduly delay transfers of funds made for the settlement of commitments, except under the conditions set out in section 3, para. (b) art. VII, and section 2 of s. XIV.

Section 1: Measures to replenish the assets of the Fund in currencies

The Fund may, if it deems it appropriate to reconstitute its assets in the currency of a Member State held in the General Resources Account and need it for its transactions, take either of the following or both of the following measures:

(i)

Propose to a Member State that it is lending its currency to the Fund, on the terms and conditions agreed between them, or that the Fund, with the consent of the Member State, borrows this currency from any other source within or outside the Member States. Member States; however, no Member State is obliged to grant such loans to the Fund or to consent to the Fund borrowing its currency from another source;

(ii)

Require the Member State, if it is a participant, to sell its currency to the Fund against Special Drawing Rights held in the General Resources Account subject to the application of the provisions of section 4 of Art. XIX. When reconstituting its assets with special drawing rights, the Fund shall take due account of the principles of designation set out in section 5 of Art. XIX.

Section 2: General currency of a currency

If the Fund finds that a currency tends to become generally rare, it may notify the Member States and publish a report setting out the causes of this rarity and containing recommendations for ending it. A representative of the Member State whose currency is involved is involved in the preparation of this report.

Section 3: Holdings of the fund in a rare currency

(a)

If the Fund finds that the request for the currency of a Member State is in serious danger of making it impossible to provide such currency, it must, whether or not it has published the report referred to in section 2 of this Article, declare that it is unable to supply that currency. Officially that this currency is rare, and will now distribute the amounts in the rare currency of which it has or will dispose, taking due account of the relative needs of the Member States, the international economic situation and all others Relevant considerations. It also publishes a report on the measures it has taken.

(b)

An official declaration made in accordance with paragraph 1. (a) above constitutes an authorisation for any Member State to impose on a temporary basis, after consultation with the Fund, restrictions on the freedom of exchange operations on the rare currency. Subject to the provisions of Art. IV and Annex C, each Member State has sole jurisdiction to determine the nature of these restrictions, but these restrictions are not more stringent than is necessary to limit the application of the rare currency to the amounts of that currency. Owns or is responsible for it; and such restrictions are relaxed and removed as quickly as circumstances permit.

(c)

The authorization referred to in s. (b) shall expire as soon as the Fund has officially declared that the currency in question has ceased to be rare.

Section 4: Applying the restrictions

Any Member State which, in accordance with the provisions of Section 3, para. (b) in this Article, impose restrictions on the currency of another Member State, shall give benevolent attention to the representations that may be made by that Member State concerning the application of these exchange restrictions.

Section 5: Effects of other international agreements on foreign exchange restrictions

Member States agree not to invoke obligations arising from commitments entered into with other Member States prior to these Statutes in a way that impedes the implementation of the provisions of this Article.

Section 1: Introduction

In addition to the obligations assumed under other provisions of this Statute, each Member State undertakes to comply with the obligations set out in this Article.

Section 2: Non-recourse to restrictions on current payments

(a)

Subject to the provisions of Section 3, para. (b) art. VII and section 2 of s. XIV, no Member State imposes, without the approval of the Fund, restrictions on payments and transfers relating to current international transactions.

(b)

Foreign exchange contracts which involve the currency of a Member State and are contrary to the exchange rules which that Member State maintains in force or which it has introduced in accordance with the present Statute shall not be enforceable on The territories of the other Member States. In addition, Member States may, by mutual agreement, cooperate in measures designed to make the exchange regulations of one of them more effective, provided that such measures and regulations are compatible with the present Statute.

Section 3: Non-recourse to discriminatory monetary practices

Member States shall not use or permit their public financial institutions referred to in Section 1 of Art. V to resort to discriminatory measures against multiple currencies or exchange rate practices, within or outside the margins set out in s. IV or prescribed by Annex C or by virtue of its provisions, unless authorized by these Statutes or have the approval of the Fund. If such measures or practices exist on the date of entry into force of this Statute, the Member State concerned shall enter into consultation with the Fund with regard to their phasing out, unless they are maintained or That they were not brought under section 2 of s. XIV, in which case the provisions of section 3 of that Article shall apply.

Section 4: Convertibility of assets held by other Member States

(a)

Each Member State must purchase the assets in its own currency held by another Member State if the latter, by requesting the purchase, states:

(i)

These assets have been acquired recently as a result of current transactions, or

(ii)

That their conversion is necessary to make payments for current transactions.

The Buyer Member State may pay special drawing rights, subject to the provisions of Section 4 of Art. XIX, or in the currency of the requesting Member State.

(b)

The obligation under s. (a) above does not apply:

(i)

Where the convertibility of assets has been restricted in accordance with section 2 of this section or section 3 of s. VI; or

(ii)

When the assets have accumulated as a result of transactions made before the abrogation by a Member State of restrictions maintained or introduced in accordance with Section 2 of Art. XIV; or

(iii)

Where the assets have been acquired in breach of the foreign exchange regulations of the Member State invited to purchase them; or

(iv)

When the currency of the Member State requesting the purchase has been declared scarce, in accordance with Section 3, para. (a) art. VII; or

(v)

When the Member State invited to make the purchase does not, for any reason, have the right to buy from the Fund the currencies of other Member States in exchange for its own currency.

Section 5: Provision of information

(a)

The Fund may request Member States to provide it with such information as it deems necessary for the conduct of its operations, including the national data on the following points, which are considered to be a necessary minimum to Accomplishment of its mission:

(i)

Official, domestic and external assets: 1) gold; 2) in foreign currency.

(ii)

Domestic and external assets of banking and financial institutions other than official bodies: 1) in gold; 2) in foreign currency.

(iii)

Gold production.

(iv)

Exports and imports of gold, by country of destination and country of origin.

(v)

Total exports and imports of goods, assessed in national currency, by country of destination and country of origin.

(vi)

International balance of payments, including: 1) trade in goods and services; 2) operations on or; 3) known capital operations; and 4) all other positions.

(vii)

The situation of international investment, i.e. foreign investment in the territories of the Member State and investments abroad by residents of the Member State, to the extent that it is possible to provide these Information.

(viii)

National Revenue.

(ix)

Price indices, i.e., commodity prices, wholesale and retail, and import and export prices.

X)

Foreign currency buying and selling courses.

(xi)

Foreign exchange regulation, that is to say the full statement of the rules in force at the time of admission of the Member State to the Fund and the detailed indication of subsequent changes as they occur.

(xii)

If there are formal clearing arrangements, the detailed indication of the amounts outstanding in the settlement of commercial and financial transactions and the amount of time that the arrears remained unpaid.

(b)

When requesting this information, the Fund shall take into account the extent to which the Member State may provide the data requested. Member States are not required to give details on the disclosure of the affairs of individuals or companies. However, the Member States undertake to provide the requested information in as detailed and precise terms as possible and to avoid as far as possible the provision of simple estimates.

(c)

The Fund may make arrangements to obtain, in agreement with the Member States, additional information. It serves as a centre for the gathering and exchange of information on monetary and financial problems, thus facilitating the carrying out of studies to assist member states in developing policies to promote implementation The goals of the Fund.

Section 6: Consultations between Member States on international agreements in force

Where, under the present Statute and in the special or temporary circumstances specified therein, a Member State is authorised to maintain or establish restrictions on foreign exchange operations, and that there is also between the States Members of other undertakings which are prior to these Statutes and which are incompatible with the application of such restrictions, the parties to such undertakings shall consult with a view to making the mutually acceptable amendments which are Necessary. The provisions of this section do not preclude the application of section 5 of s. VII.

Section 7: Obligation to collaborate on policies relating to reserve assets

Each Member State undertakes to cooperate with the Fund and with the other Member States in order to ensure that the policy which it follows with regard to reserve assets is compatible with the objectives of promoting better International monitoring of international liquidity and the making of the Special Drawing Right as the main reserve instrument of the international monetary system.

Section 1: Purpose of this Article

In order to enable the Fund to carry out the functions entrusted to it, the legal status, immunities and privileges defined in this Article shall be granted to the Fund in the territories of each Member State.

Section 2: Legal status of the Fund

The Fund has full legal personality and in particular has the capacity to:

(i)

Contract;

(ii)

Acquire and dispose of movable and immovable property;

(iii)

Legal proceedings.

Section 3: Immunity from jurisdiction

The Fund, its assets and assets, wherever and wherever they are located, enjoy immunity from jurisdiction in all its aspects except to the extent that it expressly waives it for a specified procedure or by virtue of a Contract.

Section 4: Other immunities

The assets and assets of the Fund, wherever and wherever they are held, may not be searched, requisitioning, confiscations, expropriations, or any other form of seizure by the executive or Legislative

Section 5: Inviolability of archives

The archives of the Fund are inviolable.

Section 6: Exemption from restrictions

To the extent necessary for the performance of the activities provided for in this Statute, the assets and assets of the Fund shall be free of any restrictions, regulations, controls and moratoriums of any kind.

Section 7: Communications Privilege

The official communications of the Fund shall be treated by each Member State in the same way as the official communications of the other Member States.

Section 8: Immunities and privileges of employees and employees

Governors, directors, alternates, committee members, designated representatives in accordance with section 3, para. (j), art. XII, counsel for the above persons, employees and employees of the Fund:

(i)

Cannot be prosecuted for acts performed by them in the official exercise of their duties, unless the Fund waives that immunity;

(ii)

When they are not nationals of the State in which they perform their duties, they shall enjoy the same immunities with regard to restrictions on immigration, the registration of aliens and military obligations, and Exchange restrictions, the same advantages as those granted by the Member States to representatives, officials and employees of other Member States of comparable rank; and

(iii)

Shall enjoy, in their movements, the same treatment as that accorded by the Member States to representatives, officials and employees of other Member States of comparable rank.

Section 9: Tax immunities

(a)

The Fund, its assets, assets and revenues, as well as its operations and transactions authorized by these Statutes, are exempt from all taxes and customs duties. The Fund is also exempt from any obligation relating to the collection or payment of any tax or right.

(b)

No tax shall be levied on the salaries and emoluments paid by the Fund to administrators, substitutes, officials or employees of the Fund who are not citizens, subjects or nationals of the country in which they perform their duties.

(c)

No tax of any kind is levied on bonds or securities issued by the Fund, nor on any dividends and interest thereon, regardless of the holder of such securities:

(i)

Whether that tax presents, in respect of those obligations or securities, a discriminatory character based exclusively on their origin;

(ii)

Or if this tax has the sole legal basis, the place or currency of issue, the place or currency of settlement expected or actual, or the territorial situation of an office or agency of the Fund.

Section 10: Application of this Article

Each Member State shall take all relevant provisions on its own territories in order to make effective and incorporate into its own legislation the principles set out in this Article, and shall provide the Fund with a detailed account of the measures it has Taken.

The Fund collaborates, within the framework of these Statutes, with international organizations of a general nature, as well as with any public international body with specialized functions in related fields. Any agreement for such collaboration resulting in the amendment of any provision of these Statutes may be applied only after amendment of the said Statute, in accordance with Art. XXVIII.

Section 1: Commitments relating to relations with non-member States

The Member States undertake

(i)

Not to carry out and not allow any of the public financial institutions referred to in section 1 of s. V to carry out, with a non-member State or with persons in the territories of that State, transactions which are contrary to the provisions of these Statutes or the purposes of the Fund;

(ii)

Not to cooperate with a non-member State, or with persons in the territories of that State, in practices which are contrary to the provisions of these Statutes or the purposes of the Fund;

(iii)

To cooperate with the Fund with a view to the application, in its territories, of measures to prevent transactions, with non-member States or with persons in the territories of those States, which are contrary to the provisions of the present Statutes or purposes of the Fund.

Section 2: Restrictions on transactions with non-member states

Nothing in this Statute shall affect the right of any Member State to impose restrictions on foreign exchange transactions with non-member States or with persons in their territories, unless the Fund considers that such restrictions are Restrictions are prejudicial to the interests of the Member States and are contrary to its aims.

Section 1: Structure of the Fund

The Fund shall comprise a Board of Governors, a Board of Directors, a Director General and staff, and shall comprise a College composed of advisers if, by a majority of 85 % of the total number of votes allocated, the Board of Governors shall Decides on the application of the provisions of Annex D.

Section 2: Governing Council

(a)

All powers which, under the present Statute, are not directly conferred on the Governing Council, the Governing Council or the Director General shall be vested in the Governing Council. The Governing Council shall consist of a Governor and an alternate appointed by each of the Member States, in accordance with the procedure laid down by it. Governors and alternates shall remain in office until their successors are appointed. No substitute shall be allowed to vote, except in the absence of the holder. The Governing Council shall select its President from among the Governors.

(b)

The Governing Council may give the Governing Council delegation to exercise all powers of the Governing Council, with the exception of those which, under the present Statute, are conferred directly on the Board of Governors.

(c)

The Governing Council shall hold meetings decided by it or convened by the Governing Council. A meeting of the Governing Council shall be convened when the request is made by fifteen Member States or by Member States with a quarter of the total number of votes allocated.

(d)

For any meeting of the Governing Council, the quorum shall consist of a majority of the governors with at least two-thirds of the total number of votes allocated.

(e)

Each Governor shall have the number of votes allocated under Section 5 of this Article to the Member State which appointed him.

(f)

The Governing Council may, by regulation, establish a procedure for the Governing Council, when it deems it in accordance with the interests of the Fund, to obtain on a specific matter a vote of the governors without convening a meeting of the Board of Governors.

(g)

The Board of Governors, and, to the extent permitted, the Board of Directors, may adopt the necessary or appropriate rules and regulations for the conduct of the affairs of the Fund.

(h)

Governors and alternates shall carry out their functions without remuneration from the Fund, but the Fund may reimburse them for the reasonable costs incurred in attending the meetings.

(i)

The Board of Governors shall determine the remuneration to be allocated to the directors and their alternates, as well as the salary and conditions of the contract of the Director General.

(j)

The Governing Council and the Board of Directors may establish such committees as they deem appropriate. The composition of these committees is not necessarily limited to governors, administrators or their alternates.

Section 3: Board of Directors

(a)

The Board of Directors is responsible for the general conduct of the Fund and, for that purpose, exercises all the powers delegated to it by the Board of Governors.

(b)

The Board of Directors is composed of directors and is chaired by the Director General. Directors are selected as follows:

(i)

Five are appointed by the five Member States with the highest quotas;

(ii)

15 are elected by the other Member States.

For the purpose of each ordinary election of directors, the Board of Governors may, by a majority of 85 % of the total number of votes allocated, increase or reduce the number of directors referred to in para. (ii) above. The number of directors referred to in para. (ii) above is reduced by one or two, as the case may be, if directors are appointed under s. (c) below, unless the Governing Council decides, by a majority of 85 % of the total number of votes allocated, that such reduction hinders the Board of Directors or the directors in the normal course of their duties, or May upset the desirable balance in the Board of Directors.

(c)

In the second ordinary election of directors and thereafter, if, among the member States entitled to appoint an administrator under para. (i) du par. (b) above, are not the two Member States in whose currency the Fund's assets in the General Resources Account have registered, on average, in the two preceding years, the largest reduction in absolute value, expressed in Special drawing rights, below their quota, either of these states, or both, as the case may be, may appoint an administrator.

(d)

Election of elective directors shall be held every two years, in accordance with the provisions of Annex E, which may be added to the Regulations as the Fund deems appropriate. For each ordinary election of directors, the Board of Governors may make regulations amending the percentages of votes required for the election of directors on the basis of Schedule E.

(e) ¹

Each director shall appoint an alternate with full powers to act in his place and place in his absence, on the understanding that the Governing Council may adopt rules allowing an administrator elected by a number of Member States exceeding A given number to appoint two alternates. These rules, if adopted, may be amended only on the occasion of the ordinary election of directors and impose on the Administrator who appoint two alternates to designate:

(i)

The alternates who are entitled to act in his place and place in his absence and when the two substitutes are present; and

(ii)

That of the two alternates exercising his powers under paragraph (f) below. Where the directors who appointed them are present, the alternates may take part in the meetings, but without the right to vote.

(f)

Directors remain in office until their successors are appointed or elected. If the post of an elected director becomes vacant more than ninety days before the expiry of his term of office, another director shall be elected for the period remaining to run, by the member States who had elected the previous administrator. The election shall be held by a majority of the votes cast. As long as the position remains vacant, the deputy head of the previous administrator shall exercise the powers of the former administrator, except for the appointment of an alternate.

(g)

The Board of Directors is permanently located at the headquarters of the Fund and meets as frequently as required by the conduct of the Fund's business.

(h)

The quorum for any meeting of the Board of Directors shall be a majority of the directors with at least half of the total number of votes cast.

(i) (i) Each director appointed shall have the right to express a number of votes equal to that of the votes assigned, under section 5 of this article, to the Member State which appointed him.

(ii)

If, as a result of the last ordinary election of directors, the votes assigned to a Member State appointing an administrator under subs. (c) above have been expressed by an administrator who, at the same time, expresses the votes assigned to other Member States, the Member State may agree with each of the other Member States that the votes allocated to it shall be expressed by The named administrator. The Member State which passes such an agreement shall not participate in the election of the directors.

(iii)

Each elected administrator shall have the number of votes counted for his or her election.

(iv)

Where the provisions of Section 5, para. (b) in this section, the number of votes to be disposed of by an administrator shall be increased or decreased accordingly. Any administrator must express the votes he has at his disposal.

(v) ²

When the suspension of the voting rights of a Member State is revoked under section 2b of the Art. XXVI and that the said Member State is not authorised to appoint an administrator, that Member State may agree with all the Member States who have elected an administrator that the votes assigned to it are expressed by that administrator, under Reservation that, if no ordinary election of directors took place during the period of suspension, the administrator at the election of which the Member State had participated before the suspension of its voting rights, or its successor elected under the Provisions of s. 3 (c) (i) of Schedule L or para. (f) above, shall be entitled to express the votes assigned to that Member State. The Member State shall be deemed to have participated in the election of the administrator entitled to express the votes allocated to that Member State.

(j)

The Governing Council shall adopt rules allowing a Member State which is not entitled to appoint an administrator under s. (b) above, to send a representative to any meeting of the Board of Directors where an application by that Member State or a question relating specifically to it is considered.

Section 4: Director-General and staff

(a)

The Board of Directors shall select a Director General who is neither a governor nor an administrator of the Fund. The Director-General shall preside over the meetings of the Board of Directors, without taking part in the vote, but shall have a casting vote in the event of an equal sharing of votes. It may participate in meetings of the Governing Council, but without the right to vote. The functions of the Director-General shall cease when the Governing Council so decides.

(b)

The Director-General is the head of the Fund's services and manages day-to-day affairs under the direction of the Board of Directors. Under the general supervision of the Board of Directors, he is responsible for the organization of the services and the appointment and dismissal of staff members of the Fund.

(c)

The Director General and the staff in the performance of their duties shall have obligations only to the Fund. Each Member State must respect the international character of these functions and refrain from any initiative to influence the staff of the Fund in the performance of its functions.

(d)

In appointing staff, the Director-General, subject to the overriding interest in ensuring the most effective and technically competent competitions in the Fund, must take due account of the importance of recruitment Carried out on as wide a geographical basis as possible.

Section 5: Vote

(a) ³

The total number of votes allocated to each Member State shall be the sum of its basic votes and its votes based on the quota.

(i)

The basic votes of each Member State shall be the number of votes resulting from the equal distribution among all Member States of 5.502 per cent of the total number of votes allocated to all Member States, on the understanding that there is no vote of Fractional basis.

(ii)

The votes based on the quota of each Member State shall be the number of votes resulting from the allocation of one vote for each part of its quota equivalent to one hundred thousand special drawing rights.

(b)

Where a vote is required under sections 4 or 5 of s. V, each Member State shall have the number of votes to which it is entitled under s. (a) above, modified

(i)

By the addition of one vote per tranche equivalent to four hundred thousand special drawing rights of the net sales of its currency held in the General Resources Account made up to the date of the vote; or

(ii)

By subtracting one vote per tranche equivalent to four hundred thousand special drawing rights of the net amount of purchases made by it under section 3, para. (b) and (f), art. V, until the date of the vote;

On the understanding that neither net purchases nor net sales shall be regarded at any time as exceeding an amount equal to the share of the Member State concerned.

(c)

Except as expressly provided, all decisions of the Fund shall be taken by a majority of the votes cast.

Section 6: Reserves, net income distribution and investment

(a)

The Fund determines each year the share of its net income that is allocated to the general reserve, or to the special reserve, and the share which, if any, is distributed.

(b)

The Fund may use the special reserve in any employment to which it may allocate funds from the General Reserve, except for distribution.

(c)

If a one-year net income distribution is carried out, it shall be carried out between all Member States in proportion to their assessed contributions.

(d)

The Fund, by a majority of 70 % of the total number of votes allocated, may at any time decide to distribute any part of the general reserve. Any such distribution shall be made to all Member States in proportion to their assessed contributions.

(e)

The payments referred to in s. (c) and (d) above shall be made in special drawing rights, on the understanding that either the Fund or the Member State may decide that payment to the Member State is made in its currency.

(f) (i) The Fund may open an Investment Account for the purposes of this paragraph. (f). The assets of the Investment Account are segregated from those of the other accounts of the General Department.

(ii)

The Fund may decide to transfer part of the proceeds from the sale of gold to the Investment Account in accordance with Section 12, para. (g), art. V and, by a majority of 70 % of the total number of votes allocated, it may decide to transfer the currencies held in the General Resources Account to the Investment Account for immediate investment purposes. The amount of such transfers shall not exceed the total amount of the general reserve and the special reserve at the time of the decision.

(iii) ⁴

The Fund may use the currency of a Member State held in the Investment Account to make the investments which it decides, in accordance with the rules and regulations adopted by the Fund by a majority of seventy per cent of the total number of Allocated votes. The rules and regulations adopted under this provision shall be in accordance with the provisions of paras. (vii), (viii) and (ix) below.

(iv)

Investment income may be invested in accordance with the provisions of this paragraph. (f). Uninvested income is held in the Investment Account or can be used to cover expenditure on the conduct of the affairs of the Fund.

(v)

The Fund may use the currency of a Member State held in the Investment Account to obtain the currencies necessary to cover expenditure relating to the conduct of the affairs of the Fund.

(vi) ⁵

The Investment Account shall be closed in the event of liquidation of the Fund and may be terminated, or the amount of the investment may be reduced, prior to liquidation by a decision taken by a majority of seventy per cent of the total number of Allocated votes.

(vii)

Where the closure of the Investment Account results from the liquidation of the Fund, the assets held in that account shall be distributed in accordance with the provisions of Annex K, on the understanding that the portion of those assets corresponding to the share of the assets Transferred to this account under section 12, para. (g), art. V, in the total assets transferred to the account, is deemed to be held in the Special Remittances Account and is distributed in accordance with the provisions of subs. 2 (a) (ii) of Annex K.

(viii)

In the case of closure of the Investment Account prior to the liquidation of the Fund, the portion of the assets held in that account that corresponds to the share of the assets transferred to that account under section 12, para. (g), art. V, in the total assets transferred to the account, is transferred to the Special Remittances Account if the account has not been closed, and the balance of the assets held in the Investment Account is transferred to the General Employment Resources Account Immediate in transactions and transactions.

(ix)

In the event of a reduction in the amount of the investment by the Fund, the fraction of the reduction corresponding to the share of the assets transferred to the Investment Account under section 12, para. (g), art. V, in the total assets transferred to the account, is transferred to the Special Remittances Account if the account has not been closed, and the balance of the reduction is transferred to the General Resources Account for immediate employment in operations and Transactions.

Section 7: Publishing reports

(a)

The Fund shall publish an annual report containing an audited statement of its accounts and shall publish, at intervals of not more than three months, a summary of its operations and transactions and its holdings of special drawing rights, in gold and in currencies of the Member States.

(b)

The Fund may publish any other reports it deems appropriate in order to achieve its objectives.

Section 8: Communication of the views of the Fund to the Member States

The Fund may, at any time, make informally known to a Member State its views on any matter arising in the application of these Statutes. The Fund may, by a majority of 70 % of the total number of votes allocated, decide to publish a report to a Member State on its monetary situation or economic situation and their development, if they tend to provoke a serious Imbalance in the international balance of payments of the Member States. If the Member State is not entitled to appoint an administrator, it shall have the right to be represented in accordance with Section 3, para. (j) of this article. The Fund does not publish a report which would imply changes in the fundamental structure of the economic organisation of the Member States.

Section 1: Headquarters

The seat of the Fund shall be established in the territory of the Member State whose share is the highest; agencies or offices may be established in the territories of other Member States.

Section 2: Depositaries

(a)

Each Member State shall designate as the depositary of all the assets of the Fund in its currency its central bank or, failing that, such other institution which may be approved by the Fund.

(b)

The Fund may retain its other assets, including gold, from the depositories designated by the five Member States with the highest assessed contributions and such other designated depositories as the Fund may choose. At the beginning, at least half of the assets of the Fund shall be held by the depositary designated by the Member State in whose territories the Fund has its seat, and at least 40 % shall be held by the depositaries designated by the other four Member States Above. However, for all transfers of gold, the Fund shall take due account of the transport costs and its likely needs. In serious circumstances, the Board of Directors may transfer all or part of the Fund's assets to any place that provides sufficient security.

Section 3: Guarantee of the Fund's assets

Each Member State shall guarantee all assets of the Fund against losses due to the failure or failure of the depositary designated by that Member State.

Section 1: Notification

Each Member State must notify the Fund if it intends to avail itself of the transitional provisions provided for in Section 2 of this Article or if it is prepared to fulfil the obligations referred to in Sections 2, 3 and 4 of Art. VIII. As soon as a Member State availing itself of the transitional provisions is ready to assume the aforementioned obligations, it shall notify the Fund accordingly.

Section 2: Foreign exchange restrictions

Notwithstanding the provisions of any other Article of this Statute, Member States which have notified the Fund that they intend to avail themselves of the transitional provisions referred to in this Article may maintain and adapt to changes in Circumstances the restrictions on payments and transfers relating to current international transactions that were in effect on the date on which they became members. The Member States must, however, in their foreign exchange policy, have constant regard for the purposes of the Fund; as soon as the conditions permit, they must take all possible measures to agree with the other Member States of the Trade and financial arrangements to facilitate international payments and the promotion of a stable exchange rate system. In particular, Member States shall abolish the restrictions maintained in force under this Section as soon as they consider themselves in a position to balance their balance of payments without such restrictions in a manner that does not impede Unduly access to the general resources of the Fund.

Section 3: The Fund's Action on Restrictions

The Fund shall report annually on the exchange restrictions in force pursuant to Section 2 of this Article. Any Member State which maintains restrictions incompatible with Sections 2, 3 or 4 of Art. VIII consults annually with the Fund in respect of their continuance. The Fund may, if it considers it necessary because of exceptional circumstances, declare to the Member State that the conditions are favourable for the removal of such a particular restriction or of all restrictions contrary to the provisions Any other articles of the Statute. A sufficient period of reply shall be granted to the Member State concerned. If the Fund finds that the Member State persists in maintaining restrictions incompatible with the purposes of the Fund, the provisions of Section 2, para. (a) art. XXVI shall become applicable to that Member State.

Section 1: ¹ Authority to Allocate Special Drawing Rights

(a)

In order to add, where and to the extent that the need arises, to existing reserve instruments, the Fund is authorized to allocate special drawing rights, in accordance with the provisions of Art. XVIII, to member States participating in the Special Drawing Rights Department.

(b)

In addition, the Fund shall allocate special drawing rights, in accordance with the provisions of Annex M, to Member States participating in the Special Drawing Rights Department.

Section 2: Calculation of the value of the special drawing right

The method of calculating the value of the special drawing right shall be fixed by the Fund by a majority of 70 % of the total number of votes allocated, provided that the majority of 85 % of the total number of votes allocated is required for a Change in the principle of value-setting or fundamental change in the application of the existing principle.

Section 1: Separate accounting of transactions and transactions

All transactions and transactions involving special drawing rights are carried out through the Special Drawing Rights Department. All other transactions and transactions on behalf of the Fund authorized by or under these Statutes shall be carried out through the General Department. Transactions and transactions authorized by section 2 of s. XVII is carried out through both the General Department and the Special Drawing Rights Department.

Section 2: Separate accounting of assets and assets

All assets and assets belonging to the Fund, with the exception of resources managed under section 2, para. (b) art. V, are held in the General Department, on the understanding that the assets and assets acquired under section 2 of s. XX, s. XXIV and XXV and Annexes H and I, are held in the Special Drawing Rights Department. Under no circumstances shall the Fund use the assets or assets held in a department to discharge the obligations, honour commitments or compensate losses arising out of transactions and transactions effected through the other Department; however, the costs incurred in the conduct of the operations of the Department of Special Drawing Rights are paid by the General Department Fund, which is reimbursed by special drawing duty intervals by distribution of These costs among the participants, in accordance with section 4 of s. XX, after a reasonable estimate of the said costs.

Section 3: Registration and information

Changes in the holdings of special drawing rights shall take effect only on the date of their inclusion by the Fund in the books of the Special Drawing Rights Department. Participants shall notify the Fund of the provisions of these Statutes in respect of which special drawing rights are used. The Fund may request the participants to provide it with any other information it deems necessary for the purposes of its functions.

Section 1: Participants

As a participant in the Special Drawing Rights Department, any member of the Special Drawing Rights Fund shall deposit an instrument with the Fund stating that it is committed, in accordance with its law, to all obligations implied by the Fund. Participation in the Special Drawing Rights Department, and that it has taken all necessary steps to be able to comply with it, as the quality of the participant is acquired on the date of deposit of the instrument. However, no member shall acquire the quality of a participant until the provisions of the present Statute relating exclusively to the Department of Special Drawing Rights have entered into force and instruments have been deposited Under this Section by a number of Member States comprising at least 75 % of the total amount of assessed contributions.

Section 2: Detention by the Fund

The Fund may hold special drawing rights in the General Resources Account and may accept and use them for transactions and transactions through the General Resources Account with Participants, in accordance with the provisions of these Statutes, or with approved holders, on the terms and conditions prescribed in Section 3 of this Article.

Section 3: Other holders

The Fund may:

(i)

Register as holders of non-member States, non-participating Member States, institutions performing central bank functions for more than one Member State and other official bodies;

(ii)

Prescribing the terms and conditions under which authorized holders may be authorized to hold special drawing rights and may accept and use them in transactions and transactions with participants and with Other approved holders; and

(iii)

Prescribe the terms and conditions under which participants and the Fund, through the General Resources Account, may carry out special drawing rights transactions and transactions with approved holders.

A majority of 85 % of the total number of votes allocated is required for the decisions referred to in para. (i) above. The terms and conditions prescribed by the Fund are in accordance with the provisions of these Statutes and are consistent with the proper functioning of the Special Drawing Rights Department.

Section 1: Principles and considerations governing allocation and cancellation

(a)

In all decisions relating to allowances and cancellations of special drawing rights, the Fund shall endeavour to meet the long-term global need, where and to the extent that it is felt, to add to the reserve instruments In a way that facilitates the achievement of its goals and avoids economic stagnation and deflation, as well as excess demand and inflation in the world.

(b)

The first decision to allocate special drawing rights takes into account the following special considerations: collective recognition of the existence of an overall need to add to reserves, the achievement of a better balance of balances Payments, and the likelihood of more efficient operation of the adjustment process in the future.

Section 2: Allocating and cancelling

(a)

Decisions taken by the Fund to allocate or cancel special drawing rights shall cover base periods which are consecutive and for a period of five years. The first basic period shall begin on the date of the first decision to allocate special drawing rights or at the later date which may be prescribed in that decision. Allowances and cancellations occur at annual intervals.

(b)

Allowance rates are expressed as a percentage of the quota at the date of each allocation decision. The rates of cancellations are expressed as a percentage of the net cumulative allocations of special drawing rights on the date of each cancellation decision. These percentages are the same for all participants.

(c)

In its decision on any base period, the Fund may decide, notwithstanding the provisions of s. (a) and (b) above, that:

(i)

The duration of the base period is less than or greater than five years; or

(ii)

Allowances or cancellations occur at intervals other than annuels; or

(iii)

The bases of allowances or cancellations are assessed contributions or net cumulative allowances on dates other than those for allocation or cancellation decisions.

(d)

A Member State which acquires the quality of a participant in the course of a basic period receives allowances from the beginning of the next basic period in which allowances are made after it has acquired the quality of Participant unless the Fund decides that the new member begins to receive allowances from the first allowance following the date on which the participant became a participant. If the Fund decides that a Member State which acquires the quality of a participant in a basic period receives allowances for the remainder of that period, and if that participant was not a member of the dates specified in s. (b) or (c) above, the Fund shall determine the basis on which such allowances are made to that participant.

(e)

Any participant shall receive special drawing rights allocations made under an allocation decision, unless:

(i)

The Governor for that participant did not vote in favour of the decision; and

(ii)

The participant has notified the Fund in writing, in advance of the first allocation of special drawing rights made pursuant to that decision, that it does not wish to have special drawing rights allocated to it under it. At the request of a participant, the Fund may decide to terminate the effect of such notification in respect of the allowances of special drawing rights subsequent to that decision.

(f)

If, on the effective date of a cancellation, the amount of the special drawing rights held by a participant is less than its share of the special drawing rights that are to be cancelled, that participant shall eliminate its negative balance as well And, in consultation with the Fund, the position of its raw reserves allows it to do so. Special drawing rights acquired by the participant after the effective date of the cancellation are charged against the participant's negative balance and are cancelled.

Section 3: Important and unexpected events

The Fund may change the rates or intervals of allowances and cancellations during the remainder of a basic period, change the duration of a basic period or open a new base period if at any time the judge Due to significant and unexpected events.

Section 4: Allocation and cancellation decisions

(a)

Decisions under s. (a), (b) and (c) of Section 2 or the provisions of Section 3 of this Article shall be taken by the Board of Governors on the proposal of the Director General to which the Governing Council is associated.

(b)

Before making a proposal, the Director General, after verifying that it is in conformity with the provisions of s. (a) in section 1 of this section, undertake consultations to ensure that the proposal receives broad support from the participants. In addition, prior to making a proposal for the first allocation, the Director General shall ensure that the provisions of s. (b) section 1 of this article have been observed and participants largely agree that allocations should begin; after the establishment of the Department of Special Drawing Rights, it issues a proposal for the first As soon as he has secured these two points.

(c)

The Director General shall submit proposals:

(i)

At least six months before the end of each base period;

(ii)

If no decision has been taken with respect to the allocation or cancellation for a basic period, when he has ascertained that the provisions of s. (b) above have been observed;

(iii)

Where, in accordance with Section 3 of this Article, it considers that it is desirable to change the rates or intervals of allocation or cancellation, to change the duration of a basic period or to open a new base period; or

(iv)

Not more than six months after being invited by the Governing Council or the Board of Directors;

Provided that, under the conditions specified in paras. (i), (iii) or (iv) above, the Director General has ascertained that no proposal he considers to be compatible with the provisions of Section 1 of this Article shall have broad support among the participants in accordance with para. (b) above, it shall report to the Board of Governors and the Board of Directors.

(d)

A majority of 85 % of the total number of votes allocated is required for any decision taken under subs. (a), (b) and (c) of Division 2 or under section 3 of this section, except for decisions under Division 3 relating to a reduction in the allocation rates.

Section 1: Use of special drawing rights

Special drawing rights may be used in transactions and transactions authorized by these Statutes, or by virtue of their provisions.

Section 2: Transactions and transactions between participants

(a)

Any participant shall be entitled to use his special drawing rights in order to obtain from a participant designated under Section 5 of this Article an equivalent amount of money.

(b)

Any participant may, in agreement with another participant, use his special drawing rights to obtain an equivalent amount of money from him,

(c)

The Fund may, by a majority of 70 % of the total number of votes allocated, prescribe the operations that a participant is authorized to do in agreement with another participant, on the terms and conditions deemed appropriate by the Fund. These terms and conditions must be consistent with the proper functioning of the Special Drawing Rights Department and the proper use of special drawing rights, in accordance with these Statutes.

(d)

The Fund may make representations to the participant who is a party to a transaction or transaction referred to in subs. (b) or (c) above, which, in accordance with the judgment of the Fund, may affect the process of designation in accordance with the principles of section 5 of this section or that is, in other respects, inconsistent with the provisions of s. XXII. A participant who continues to be a party to such transactions or transactions shall be subject to the provisions of Section 2, para. (b) art. XXIII.

Section 3: Criterion of Need

(a)

In transactions referred to in subs. (a) section 2 of this section, and subject to the provisions set out in subs. (c) below, the Fund expects a participant to use its special drawing rights only if it needs to do so because of its balance of payments or the status or evolution of its reserves, and will refrain from doing so at The only purpose of changing the composition of its reserves.

(b)

The use of special drawing rights cannot be challenged on the basis of the rule set out in par. (a) above, but the Fund may make representations to the participant who has not complied with it. A participant who persists in failing to comply shall be subject to the provisions of Section 2, para. (b) art. XXIII.

(c)

The Fund may derogate from the rule set out in s. (a) above for any transaction in which a participant uses special drawing rights to obtain from another participant, designated in accordance with section 5 of this Article, an equivalent amount of money, and which promotes the By the other participant, under section 6, para. (a) in this section, avoids or reduces a negative balance of the other participant or compensates for the effect of a default by the other participant in the rule set out in s. (a) above.

Section 4: Obligation to provide money

(a)

The participant designated by the Fund under Section 5 of this Article shall, on request, provide a freely usable currency to the participant who uses special drawing rights under section 2, para. (a) of this article. The obligation of a participant to provide money ceases when the special drawing rights it holds exceed the net cumulative amount of the rights allocated to it by an amount equal to twice that amount, or to any other limitation Greater than the participant and the Fund may agree.

(b)

Any participant may provide currency beyond the mandatory limit or any agreed upon upper limit.

Section 5: Designation of participants to provide money

(a)

In order to ensure that participants are able to use their special drawing rights, the Fund designates participants to provide money against specified amounts of special drawing rights, for the purposes of Sections 2, para. (a), and 4 of this article. For this designation, it shall observe the general principles set out below, and such other principles as it may adopt from time to time:

(i)

A participant may be appointed if the position of his balance of payments and gross reserves is sufficiently strong, which does not exclude the possibility of designating a participant who has a strong reserve position, even if its balance of Payments are moderately deficient. These participants shall be appointed in such a way as to progressively achieve a balanced distribution among themselves of the assets of special drawing rights.

(ii)

Participants may be appointed for the purpose of promoting the revival under section 6, para. (a) in this section, to reduce the negative balances of assets in special drawing rights or to offset the effect of a breach of the rule set out in section 3, para. (a) of this article.

(iii)

When appointing participants, the Fund normally gives priority to those who need to acquire special drawing rights to achieve the designation objectives set out in para. (ii) above.

(b)

With a view to progressively achieving a balanced distribution of the assets of the Member States in special drawing rights under subs. (a), para. (i), above, the Fund shall apply the designation rules set out in Schedule F or the rules that may be adopted under s. (c) below.

(c)

The designation rules can be reviewed at any time, and new rules will be adopted if necessary. Unless new rules are adopted, the rules in force at the time of the review continue to apply.

Section 6: Reconstitution

(a)

Participants who use their special drawing rights shall reconstitute their assets in accordance with the rules of revival set out in Annex G or any other rules that may be adopted under s. (b) below.

(b)

The rules on recovery can be reviewed at any time and new rules adopted as necessary. Unless new rules are adopted or it is decided to repeal the rules of revival, those in force at the time of the review continue to apply. The majority required for any decision relating to the adoption, amendment or repeal of the rules of revival is 70 % of the total number of votes allocated.

Section 7: Exchange rate

(a)

Subject to the provisions of subs. (b) below, the exchange rates applied for transactions between participants referred to in section 2, para. (a) and (b), of this article, are such that participants using special drawing rights obtain the same value, irrespective of the currencies provided and irrespective of the participants who provide them; the Fund shall adopt Rules for applying this principle.

(b)

By a majority of 85 % of the total number of votes allocated, the Fund may adopt policies enabling it, in exceptional circumstances, by a majority of 70 % of the total number of votes allocated, to authorise the participants who are Transactions in accordance with Section 2, para. (b) in this section, to agree on exchange rates other than those applicable under s. (a) above.

(c)

The Fund consults participants on the procedure to be followed in determining the exchange rates of their currency.

(d)

For the purposes of this provision, the term participant shall also mean the withdrawing participant.

Section 1: Interest

The Fund shall pay to all holders of special drawing rights, on the amounts of special drawing rights held by them, an interest in the same rate for all holders. The Fund shall pay to each holder the amount owed to it, whether or not the commissions received are sufficient to ensure payment of the interest.

Section 2: Commissions

Commissions shall be charged by the Fund at a rate that is the same for all participants, on the amount of the net cumulative allocation of special drawing rights of each participant, increased its potential negative balance and the amount of Commissions that he did not pay.

Section 3: Interest rates and commissions

The Fund sets the interest rate by a majority of 70 % of the total number of votes allocated. The rate of commission is equal to the interest rate.

Section 4: Apportionment of costs

When a decision is made to make the refund referred to in section 2 of s. XVI, the Fund shall, at the same rate for all participants, carry out levies on net cumulative allocations.

Section 5: Payment of interest, commissions and levies

Interest, commissions and levies are paid in special drawing rights. A participant who requires special drawing rights to pay a commission or levy has the obligation and the right to obtain them against a currency acceptable to the Fund, in a transaction with the Fund, through the intermediary The General Resources Account. If it cannot obtain a sufficient amount, it has the obligation and the right to obtain it from a participant designated by the Fund against a freely usable currency. The special drawing rights acquired by a participant after the payment deadline are deducted from the commissions that the participant has not paid and are cancelled.

(a)

The General Department and the Department of Special Drawing Rights shall be administered in accordance with the provisions of Art. XII, subject to the following:

(i)

For all meetings or decisions of the Board of Governors on matters relating exclusively to the Special Drawing Rights Department, it shall not be taken into account-to convene a meeting and to determine whether a quorum is reached or whether a Decision shall be taken by a majority required-than requests expressed by governors appointed by the Member States having the quality of participants, or their presence and the votes they express.

(ii)

For decisions of the Board of Directors on matters relating exclusively to the Special Drawing Rights Department, only those directors appointed or elected by at least one participating Member State shall have the right to Vote. Each of these directors may express the number of votes given to the participating Member State who nominated it, or to the participating Member States whose votes contributed to its election. In order to determine whether a quorum is present or if a decision is taken by a majority required, only the presence of the directors appointed or elected by the Member States having the quality of participants and the votes cast shall be taken into account. Member States with this quality. For the purposes of this provision, a past agreement, pursuant to section 3, para. (i) (ii) Art. XII by a Member State having the quality of a participant, empowers an administrator appointed to vote and to express the number of votes allocated to the Member State.

(iii)

For any questions concerning the general administration of the Fund, including repayments under section 2 of the art. In order to determine whether a question concerns the two departments or the only Department of Special Drawing Rights, decisions are taken as if it were the General Department exclusively. Decisions on the method of calculation of the value of the Special Drawing Right, the acceptance and holding of special drawing rights in the General Department's General Resources Account and their use, as well as other decisions Decisions relating to transactions and transactions effected through the General Resources Account of the General Department and the Department of Special Drawing Rights shall be taken at the majorities required for decisions Relating to questions relating exclusively to each of these Departments. Any decision on an issue of interest to the Special Drawing Rights Department should clarify this fact.

(b)

Apart from the privileges and immunities granted under Art. IX of these Statutes, there is no tax levied on any kind on special drawing rights or on transactions and transactions in special drawing rights.

(c)

A question of interpretation of the provisions of these Statutes on matters relating exclusively to the Department of Special Drawing Rights shall not be submitted to the Administrative Council, in accordance with subs. (a) art. XXIX, that at the request of a participant. In all cases where the Governing Council has rendered a decision on an issue of interpretation exclusively concerning the Department of Special Drawing Rights, only a participant may request that the matter be referred to the Council of Governors under s. (b) art. XXIX. The Governing Council shall decide whether a governor appointed by a non-participating Member State has the right to vote in the Interpretation Committee on matters relating exclusively to the Special Drawing Rights Department.

(d)

If a disagreement arises between the Fund and a participant who has ceased to participate in the Special Drawing Rights Department, or between the Fund and a participant, during the liquidation of the Special Drawing Rights Department, concerning Arising exclusively from participation in the Special Drawing Rights Department, this dispute shall be referred to arbitration in accordance with the procedure provided for in subs. (c) of s. XXIX.

Apart from its obligations with regard to special drawing rights in accordance with other Articles of this Statute, each participant undertakes to cooperate with the Fund and with the other participants in order to facilitate the good The operation of the Special Drawing Rights Department and the appropriate use of special drawing rights, in accordance with the provisions of these Statutes and with the objective of making the special drawing right the The main reserve instrument of the international monetary system.

Section 1: Exception provisions

In the event of serious or unforeseen circumstances, such as to compromise the activities of the Fund in respect of the Department of Special Drawing Rights, the Board of Directors may, by a majority of 85 per cent of the total number of votes cast, Suspend, for a maximum of one year, the application of any provision relating to special drawing rights transactions and transactions; the provisions of section 1, para. (b), (c) and (d), s. XXVII is then applicable.

Section 2: Failure to fulfil obligations

(a)

If the Fund finds that a participant has failed to meet the obligations under section 4 of s. XIX, the right of the participant to use his special drawing rights shall be suspended, unless the Fund decides otherwise.

(b)

If the Fund finds that a participant has failed to meet any of its other special drawing rights obligations, the Fund may suspend the participant's right to use the special drawing rights acquired after that participant Suspension.

(c)

Regulations must be adopted which will ensure that before taking action against a participant one of the measures referred to in s. (a) or (b) above, the Fund shall immediately inform the Fund of the objections raised against it and shall give it the opportunity to present its views orally and in writing. Where the participant is informed of the claims made against him under (a) above, the participant shall refrain from using special drawing rights until the dispute has been settled.

(d)

Suspensions under s. (a) or (b) above, or the limitation under subs. (c) above shall not affect the participant's obligation to provide money in accordance with the provisions of section 4 of Art. XIX.

(e)

The Fund may, at any time, terminate a suspension imposed under s. (a) or (b) above, but a suspension imposed on a participant under subs. (b) above for failure to comply with obligations under Division 6, para. (a) art. XIX, that after a period of one hundred and eighty days from the end of the first calendar quarter in which the participant satisfies the rules of revival.

(f)

The right of a participant to use his special drawing rights shall not be suspended from the fact that it has become inadmissible to use the resources of the Fund under section 5 of the art. V, section I of s. VI or section 2, para. (a) art. XXVI. The mere fact that one of the obligations relating to special drawing rights is missing does not involve the application to a participant of the provisions of section 2 of s. XXVI.

Section 1: Right to terminate participation

(a)

Any participant may, at any time, terminate its participation in the Special Drawing Rights Department by notifying in writing its decision addressed to the headquarters of the Fund. Its participation shall terminate on the date on which the notification is received.

(b)

Any participant who withdraws from the Fund is deemed to have at the same time put an end to his participation in the Special Drawing Rights Department.

Section 2: Settlement of accounts in the event of cessation of participation

(a)

When a participant terminates membership in the Special Drawing Rights Department, all Special Drawing Rights transactions and transactions are terminated, unless they are authorized under an agreement. As per s. (c) below, in order to facilitate the settlement, or sections 3, 5 and 6 of this section or Schedule H otherwise provide. Interest and commissions due on the date of cessation of participation and levies fixed before that date, but not yet paid, are paid in special drawing rights.

(b)

The Fund has an obligation to redeem all special drawing rights held by the withdrawing participant and that participant has an obligation to pay to the Fund an amount equal to its increased net cumulative allocation of all other amounts due Due to its participation in the Special Drawing Rights Department. Compensation shall be made between those obligations and the amount of special drawing rights held by the withdrawing participant and that the participant uses, for the purposes of such compensation, to extinguish his obligations to the Fund shall be cancelled.

(c)

The settling of accounts between the withdrawing participant and the Fund, relating to all the obligations of the participant or the Fund which subsist after the compensation referred to in subs. (b) above shall be done amicably and within a reasonable period of time. If an amicable settlement does not occur quickly, the provisions of Annex H shall become applicable.

Section 3: Interest and commissions

After the termination date, the Fund will pay interest on the Special Drawing Rights held by the withdrawing participant, and the Fund will pay commissions on any amount owing to the Fund. These payments are made in special drawing rights on the dates and rates prescribed by s. XX. A withdrawing participant shall have the right to acquire special drawing rights in exchange for a freely usable currency, to pay commissions or levies, by means of a transaction with a participant designated by the Fund or by Agreement with another holder, or to dispose of special drawing rights received as an interest in a transaction with a designated participant in accordance with section 5 of s. XIX, or by agreement with another holder.

Section 4: Settlement of obligations to the Fund

The Fund shall use the currency received from a participant who withdraws to redeem the special drawing rights held by the participants, in proportion to the amount of special drawing rights each of them holds in excess of their allowance Net cumulative at the time the Fund receives this currency. The special drawing rights so redeemed and the special drawing rights acquired by a participant who withdraws in accordance with the provisions of these Statutes to make a payment due under an amicable settlement agreement or Of Annex H, which shall be deducted from this payment, shall be cancelled.

Section 5: Settlement of obligations to a withdrawing participant

Where the Fund is required to redeem the special drawing rights held by a withdrawing participant, the redemption shall be effected with the currency provided by participants designated by the Fund in accordance with the principles set out in section 5 of the Fund. Art. XIX. Each of the designated participants shall provide the Fund, at its choice, with the currency of the withdrawing participant or a freely usable currency, and shall receive an equivalent amount of special drawing rights. However, with the permission of the Fund, a withdrawing participant may use his special drawing rights to acquire from any holder, his or her own currency, freely usable currency or any other currency.

Section 6: General Resources Account transactions

In order to facilitate the settlement with the withdrawing participant, the Fund may decide that the participant shall:

(i)

Use the special drawing rights that it holds after the compensation under section 2, para. (b) in this article, when they are to be redeemed, in a transaction with the Fund made through the General Resources Account, to acquire, at the option of the Fund, its own currency or a freely usable currency, or

(ii)

Acquire special drawing rights in a transaction with the Fund through the General Resources Account, in exchange for a currency acceptable to the Fund, to pay a commission or to make a payment under a Agreement or under the provisions of Annex H.

(a)

The liquidation of the Special Drawing Rights Department can only be effected by a decision of the Board of Governors. In the event of an emergency, if the Administrative Council decides that it may be necessary to liquidate the Special Drawing Rights Department, it may, pending a decision of the Board of Governors, temporarily suspend the allowances, the Cancellations and all special drawing rights transactions and transactions. If the Governing Council decides on the liquidation of the Fund, its decision involves the liquidation of both the General Department and the Department of Special Drawing Rights.

(b)

If the Governing Council decides to liquidate the Special Drawing Rights Department, any allowances or cancellations of special drawing rights and all transactions and transactions in special drawing rights, except those which Concerning the orderly settlement of the obligations of the participants and of the Special Drawing Rights Fund; all obligations relating to the special drawing rights assumed by the Fund and by the participants under the present Statutes also cease, with the exception of those set out in this Article, in respect of . XX, at para. (d) of s. XXI, art. XXIV, para. (c) of s. XXIX and Annex H, as well as in any agreement to which they have reached pursuant to Art. XXIV, subject to the provisions of paragraph 4 of Annex H, and Annex I.

(c)

During the liquidation of the Department of Special Drawing Rights, interest and commissions due on the date of liquidation and levies fixed before that date, but not yet paid, shall be paid in special drawing rights. The Fund is required to redeem all special drawing rights held by holders and each participant is required to pay to the Fund an amount equal to its net cumulative allocation of special drawing rights plus any other amounts Due to its participation in the Special Drawing Rights Department.

(d)

The liquidation of the Special Drawing Rights Department shall be carried out in accordance with the modalities set out in Annex I.

Section 1: Right of withdrawal of Member States

Any Member State may withdraw from the Fund at any time by notifying it in writing of its decision addressed to the headquarters of the Fund. The withdrawal shall take effect on the date of receipt of the notification.

Section 2 ¹ : Mandatory removal

(a)

If a Member State fails to fulfil one of its obligations under this Statute, the Fund may declare it inadmissible to use the general resources of the Fund. Nothing in this section shall be deemed to limit the scope of the provisions of section 5 of s. V, or section 1 of s. VI.

(b)

If, after the expiration of a reasonable period of time opened by a declaration of inadmissibility referred to in par. (a) above, the Member State persists in not fulfilling one of its obligations under these Statutes, the Fund may, by a decision taken by a majority of 70 % of the total number of votes allocated, suspend the voting rights of the Member State. The provisions of Annex L shall apply during the period of suspension. The Fund may, by a decision taken by a majority of 70 % of the total votes allocated, revoke the suspension at any time.

(c)

If, after the expiration of a reasonable period of time opened by a decision of suspension referred to in s. (b) above, the Member State persists in not fulfilling one of its obligations under these statutes, it may be put in place to withdraw from the Fund, by a decision of the Board of Governors taken by a majority of the governors with 85 % of the total number of votes allocated.

(d)

Regulations shall be adopted, which shall ensure that, before taking action against a Member State any of the measures referred to in subs. A, b or c above, the Fund shall inform the Member State, in reasonable time, of the objections raised against it and shall give it The opportunity to express both orally and in writing.

Section 1: Temporary suspension

(a)

In serious or unforeseen circumstances, such as to jeopardise the activities of the Fund, the Board of Directors may, by a majority of 85 % of the total number of votes allocated, suspend the application of any provision for up to one year In the following enumeration:

(i)

Sections 2, 3, 7 and 8, para. (a), (i) and (e), art. V;

(ii)

Section 2 of the Art. I;

(iii)

Section 1 of Art. XI;

(iv)

By. 5 of Annex C.

(b)

The application of any of the provisions referred to in s. (a) above shall not be suspended for more than one year, except by the Board of Governors, which, by a majority of 85 % of the total number of votes allocated, may extend the suspension for a further period of up to two years, if Finds that the serious or unexpected circumstances referred to in subs. (a) above still exist.

(c)

The Board of Directors may, by a decision taken by a majority of the votes cast, suspend a suspension at any time.

(d)

The Fund may adopt regulations relating to the subject-matter of a provision during the period in which the application of that provision is suspended.

Section 2: Liquidation of the Fund

(a)

The liquidation of the Fund may only be carried out under a decision of the Governing Council. If, in serious circumstances, the Governing Council decides that it may be necessary to liquidate the Fund, it may temporarily suspend all transactions and transactions, pending the decision of the Board of Governors.

(b)

If the Governing Council decides to proceed with the liquidation of the Fund, the Fund shall immediately cease all activities which are not subject to the orderly recovery and liquidation of its assets and the settlement of its liabilities All Member States' obligations under these Statutes shall terminate, except those resulting from this Article, from subs. (c) of s. XXIX, para. 7 of Annex J, and Annex K.

(c)

The liquidation shall be carried out in accordance with the procedure laid down in Annex K.

(a)

Any proposal for amendments to these Statutes, whether by a Member State, a Governor or the Board of Directors, shall be communicated to the President of the Governing Council, who shall submit it to the Governing Council. If the said Council approves the proposed amendment, the Fund shall, by circular letter or telegram, request all Member States if they accept the proposed amendment. Where three fifths of the Member States which have 85 % of the total number of votes allocated have accepted the proposed amendment, the Fund shall act by official communication addressed to all Member States.

(b)

Notwithstanding the provisions of s. (a) above, the consent of all Member States is required for any amendment amending:

(i)

The right to withdraw from the Fund (section 1 of s. XXVI);

(ii)

The provision that the share of a Member State cannot be amended without its consent (Section 2, Par. (d), art. III); and

(iii)

The provision that the parity of the currency of a Member State may be amended only on the proposal of that Member State (para. 6 of Annex C).

(c)

The amendments will enter into force, for all Member States, three months after the date of the official communication, unless the circular letter or telegram specifies a shorter period.

(a)

Any question of interpretation of the provisions of these Statutes which would arise between a Member State and the Fund or between Member States shall be referred to the Administrative Council for decision. If the question particularly affects a Member State which is not entitled to appoint an administrator, that Member State may be represented in accordance with Section 3, para. (j), art. XII.

(b)

In all cases where the Board of Directors has rendered a decision in accordance with s. (a) above, any Member State may request, within three months from the date of that decision, that the matter be referred to the Governing Council, the decision of which is without appeal. Any questions referred to the Governing Council shall be examined by an interpretation committee of the Governing Council. Each member of the Committee shall have one vote. The Governing Council shall determine the composition of the Committee, the procedures to be followed and the majorities required for its votes. Any decision adopted by this Committee shall be a decision of the Governing Council, unless it decides otherwise by a majority of 85 % of the total number of votes allocated. Pending the decision of the Governing Council, the Fund may, in so far as it deems it necessary, act in accordance with the decision of the Board of Directors.

(c)

Any disagreement between the Fund and a Member State which has withdrawn or, during the winding-up of the Fund, between the Fund and a Member State, shall be submitted to a tribunal composed of three arbitrators: one appointed by the Fund, the second by the Member State Or the former Member State, the third being an arbitrator appointed, unless the parties otherwise agree, by the President of the International Court of Justice or by such other authority as may be provided for by a regulation adopted by the Fund. The arbitrator shall have full powers to settle all matters of procedure on which the parties disagree.

For the interpretation of the provisions of these Statutes, the Fund and its Member States shall be based on the following:

(a)

The Fund's assets in the currency of a Member State held in the General Resources Account shall include all securities accepted by the Fund in accordance with Section 4 of Art. III.

(b)

By agreement of confirmation, it is necessary to hear a decision by which the Fund gives a Member State the assurance that it may, in accordance with that decision, make purchases in the General Resources Account for a specified period of time and Up to a specified amount.

(c)

By purchase in the reserve tranche, the purchase by a Member State of special drawing rights or of the currency of another Member State, in exchange for its own currency, which does not have the effect of bearing the assets of the Fund in the currency of that Member State Member State which is held in the General Resources Account at an amount higher than the Member State's share. However, for the purposes of this definition, the Fund may exclude purchases and assets under:

(i)

Policies related to the use of its general resources for offsetting export fluctuations;

(ii)

Policies relating to the use of its general resources for the financing of contributions to international primary commodity inventories; and

(iii)

Other policies relating to the use of its general resources, where the Fund, by a majority of 85 % of the total number of votes allocated, decides to exclude them.

(d)

Payments for current transactions include payments that are not subject to the transfer of capital, including:

1)

All payments due in respect of foreign trade and other current transactions, including services, as well as normal short-term banking and credit facilities;

2)

Payments due as interest on loans or net income from other investments;

3)

Payments of a moderate amount for amortization of direct loans or investments;

4)

Remittances of a moderate amount for family expenses.

The Fund may, after consultation with the Member States concerned, decide whether certain specific transactions should be regarded as common transactions or capital transactions.

(e)

A net cumulative allocation of special drawing rights shall mean the set of special drawing rights that have been allocated to a participant, net of those that have been cancelled under Division 2, para. (a) art. XVIII.

(f)

A freely usable currency means the currency of a member state whose Fund decides that it is (i), in fact, widely used to settle international transactions, and (ii) commonly traded in the major foreign exchange markets.

(g)

"Member States which were members as at 31 August 1975" shall be deemed to include any Member State which has accepted the quality of membership after that date, pursuant to an admission resolution adopted by the Board of Governors prior to that date. This date.

(h)

By transaction of the Fund, it is necessary to hear the exchange by the Fund of Monetary Assets against other monetary assets; by operation of the Fund, any other act in which the Fund uses or receives monetary assets must be understood.

(i)

A special drawing rights transaction involves the exchange of special drawing rights against other monetary assets; by special drawing rights operations, all other special drawing rights jobs must be heard.

Section 1: Coming into force

This Agreement shall enter into force as soon as it is signed on behalf of the Governments comprising 65 per cent of the total assessments listed in Annex A and the instruments referred to in Section 2, para. (a) this Article shall be deposited on their behalf; this Agreement shall not, under any circumstances, enter into force before 1 ^Er May 1945.

Section 2: Signature

(a)

Each Government on whose behalf this Agreement is signed shall file with the Government of the United States of America an instrument in which it affirms that it has accepted this Agreement in accordance with its laws and has taken all the Necessary measures to enable it to fulfil all its obligations under this Agreement.

(b)

Each country shall become a member of the Fund on the date of deposit in its name of the instrument referred to in s. (a) above, on the understanding that no country may become a member before this Agreement comes into force under section 1 of this Article.

(c)

The Government of the United States of America shall inform the Governments of all the countries listed in Annex A, and the Governments of all countries whose accession is approved in accordance with Section 2 of Art. II, the signatures to this Agreement and the instruments referred to in s. (a) above, which have been filed.

(d)

At the time this Agreement is signed on its behalf, each Government shall provide to the Government of the United States of America one hundredth of 1 % of all its underwriting in gold or in United States dollars in order to cover administrative expenses The Fund. The Government of the United States of America holds these funds, in deposit, to a special account and transfers them to the Board of Governors of the Fund when the first meeting is convened. If this Agreement did not enter into force on 31 December 1945, the Government of the United States of America shall return these funds to the Governments that paid them.

(e)

This Agreement may be signed in Washington, on behalf of the Governments of the countries listed in Annex A, until 31 December 1945.

(f)

After 31 December 1945, this Agreement may be signed on behalf of the Governments of the countries whose admission has been approved in accordance with Section 2 of Art. II.

(g)

By signing this Agreement, all Governments shall accept both in their own name and in the eyes of their colonies, their Overseas Territories, Territories under their protection, sovereignty or authority and of all Territories on They have a mandate.

(h)

The s. (d) above, shall enter into force for each signatory Government as of the date of its signature.

(In the original text, the following provision, concerning the signature and the filing of the Statute, appears as a result of Art. XX.)

Done at Washington, in a single copy which shall be deposited in the Archives of the Government of the United States of America, which shall transmit certified copies to all Governments listed in Annex A and to all those who will be Admitted as members under the provisions of s. II, section 2.

(Suivent signatures)