Definition: IMF quota

Category: General concept

When a country joins IMF, it is assigned a quota that fits into the structure of existing quotas considered in the light of the member's economic characteristics relative to those of other members of comparable size. The size of the member's quota determines, among other things, the member's voting power, the size of its potential access to Fund resources, and its share in allocation of SDRs. Quotas are reviewed at intervals of not more than five years to take account of changes in the relative economic positions of members and the growth of the world economy. Initial subscriptions, and normally subscriptions associated with increases in quotas, are paid mainly in the member's own currency, and a smaller portion, not exceeding 25 per cent , are paid in reserve assets (SDRs or other members' currencies that are acceptable to the Fund). http://unstats.un.org/unsd/cdb/cdb_list_dicts.asp