Page 256 - International Marketing

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258 International Marketing BRILLIANT'S

Objectives
The objectives of the bank are as follows
1. To reconstruct and develop war-devastated economies like Brit-
ain, France, Holland, etc. and to provide economic assistance
to under-developed countries like India, Pakistan, Burma,
Srilanka, etc.
2. To encourage the private investors to invest their capital in under-
developed countries.
3. To provide concessional loans to those countries whose balance
of payments is in deficit.
4. To promote international trade so that standard of living of global
population can be raised.
5. To provide financial assistance to those under-developed coun-
tries which are engaged in the task of environment protection.
Management of World Bank
Any country who is a member of IMF, will automatically become the
member of the World Bank also. Any member can withdraw its membership
at any time by giving a written notice. If a country fails to observe the rules
of the bank, its membership can be terminated.
The management of the World Bank vests in the following four boards
or committees:
1. Board of Governors: The Board of Governors represents the Gen-
eral Counsel of the Bank. Every member country appoints one governor
and one alternative governor for five years. The Board selects one presi-
dent from its members. It meets normally once a year. This meeting is
convened along with the general meeting of the IMF in any member coun-
try. The rights of the Board are:
 admission of new members Management of
 termination of the membership World Bank
 change in the capital 1. Board of Governors
 distribution of the income of the bank 2. Board of Executive
 agreement with international institutions Directors
 liquidation of bank. 3. Advisory Council
2. Board of Executive Directors: The board 4. Loan Committees
consists of 21 members. Among these, 5 are those
who have the largest subscription. They are America, Britain, Germany,
France, Japan. The other members are elected from the remaining mem-
bers of the bank. The board elects the president of bank. He acts according
to the directions of Board of Directors. The board is responsible for the day
to day conduct of the bank's operations.