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CHAPTER ONE

 INTRODUCTION

Background of the Study

The financial Institutions are essential agents in the development of an economy. They engage in financial inter-mediation, which provides the needed financial resources to the various sections of the economy where they are required for purposes of development. These institutions because of the vital role the play in the economy are regarded key agents in the economic development process of every occasion both the developing and the developed economics.

Statement of the Problem

In our country (Nigerian) to day, there are various roles expected of the international financial institutions to enhance the development of the Nigeria Economy. The institutions are the international monetary fund (IMF) international for reconstruction and development (IBRD) etc. The international monetary fund (IMF) the role expected from IMF. To promote international monetary co-operation through permanent institution which provides machinery for consultation and collaboration in international money problems?

To facilitate the expansion, and balanced growth of international trade, and to contribute thereby to the promotion and maintenance of high level of employment and real income and to develop the productive resources of all member nations. The international Bank for Reconstruction and development (IBRD) the roles expected from IBRD. To shorter the loans extended to developing nations including Nigeria. To support for a wide variety of project related to agriculture, education industry, electricity rural development tourism, transportation population planning, water supply and telecommunication.

Purpose/Objective of the Study

These expected roles are to assess how international monetary find (IMF) and international Bank for reconstruction and development contributes to the development of the Nigeria Economy. This study is to assess the various problem and prospects of international financial institutions (IMF, IBRD) the aim of the study is.

1.To investigate how to provide financial and technical help for the development of poor countries.

2. To investigate how the interest rate are charge by the bank.

3. To investigate how to finance substantial economic development needs of the nations.

4. To examine how the bank emphasizes repayment capacity in its lending.

Significance of the Study

This research work will help as many that are interested in financial institutions like IMF, IBRD. Investors: The research work will be of immense benefit to the investors. It will help them to know how to invest in commercial enterprises in developing countries.

Banking and finance students: that will serve as a source of secondary data for student in banking and finance it will also lender their scope of research. Government to know the problems facing all the international financial Institutions (IMF, IBRD).

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