D.C. It was founded in 1944 to maintain currency stability in the world economy. The Fund has 2,300 staff members, mostly professional economists who monitor the members' economies and devise reform programs for those who borrow emergency loans. Although not technically a central bank, the IMF acts as the world's lender of last resort. It can inject liquidity into a panicked market, much as the Federal Reserve can inject funds into U.S. banks to prevent bank runs or other financial instability like the U.S. stock market crash in 1987. The IMF operates like a credit union, lending from a pool of money contributed by members.
Contributions vary by country.
The U.S. contributes 18 percent of the funds and has the largest number of votes. The money comes from a nation's central bank reserves. It earns interest and can be recalled at any time. The money is held and then lent out like a bank deposit. IMF loans to its members are repaid with interest and have conditions attached.