Countries Involved In The Bretton Woods Agreement
The IMF`s objective was to monitor exchange rates and identify countries in need of global financial support. The World Bank, originally called the International Bank for Reconstruction and Development, was created to manage the funds available for aid to countries that had been physically and financially devastated by world War II. In the 21st century, the IMF has 189 member countries and continues to support global monetary cooperation. At the same time, the World Bank is helping to promote these efforts through its loans and grants to governments. The August shock was followed by U.S.-led efforts to reform the international monetary system. In the autumn of 1971, a series of multilateral and bilateral negotiations took place between the group of ten countries to reorganize the exchange rate regime. The United States launched the Marshall Plan for the economic recovery of the European Union in order to provide significant financial and economic assistance to the reconstruction of Europe, largely through subsidies rather than loans. The member countries of the Soviet bloc, for example. B Poland, were invited to receive the subsidies, but obtained a favorable agreement with the COMECON of the Soviet Union.  In a speech at Harvard University on June 5, 1947, U.S.
Secretary of State George Marshall stated that the Bretton Woods monetary management system set the rules governing trade and financial relations between the United States, Canada, Western European countries, Australia and Japan under the 1944 Bretton Woods Agreement. The Bretton Woods system was the first example of a fully negotiated monetary settlement designed to govern monetary relations between independent states. The main features of the Bretton Woods system were each country`s commitment to a monetary policy that kept its exchange rates within 1% by linking its currency to gold and the ability of the International Monetary Fund (IMF) to overcome temporary imbalances in payments. In addition, it was necessary to address the lack of cooperation between other countries and to avoid a competitive devaluation of currencies. The avant-garde idea of the Bretton Woods conference was the idea of open markets. In his conclusions at the conference, the President, U.S. Treasury Secretary Henry Morgenthau, said that the creation of the IMF and IBRD marked the end of economic nationalism. This meant that countries would retain their national interests, but trading blocs and spheres of economic influence would no longer be their means.