Definition: Adequate safeguards

Category: IMF terminology

Under the Articles of Agreement, the International Monetary Fund (IMF) is to make its general resources temporarily available to members "under adequate safeguards." The IMF considers the principal safeguard of repayment to be strong economic adjustment programs but has also adopted specific measures to protect against misuse of IMF resources by ensuring that members have in place adequate accounting, reporting and auditing systems and provide the IMF timely, accurate and comprehensive information. http://www.imf.org/external/np/exr/glossary/showTerm.asp