How Are Arab Countries Represented in the International Monetary Fund? Mohamed Maait Explains
Mohamed Maait explains the representation of Arab countries in the IMF and the United States' share.
SUMMARY
Mohamed Maait outlines the distribution of seats and shares of Arab countries in the IMF, emphasizing the United States' major share and its influence on major decisions.
KEY HIGHLIGHTS
- The United States holds 16.6% of the IMF's capital.
- Arab countries are distributed across three or more seats on the Fund's Board of Directors.
- Saudi Arabia holds a single seat, and another seat includes 11 Arab countries including Egypt.
- Some Arab countries are part of Iran's seat or the African groups' seats.
- Major decisions require 85% approval of shares, with the United States holding veto power.
CORE SUBJECT
Representation of Arab Countries in the International Monetary Fund
Dr. Mohamed Maait, Executive Director at the International Monetary Fund and representative of the Arab group, stated that the United States of America holds the largest share of the IMF's capital at 16.6%, compared to 5 or 6% for some other countries. He added in televised remarks on Al Mehwar channel that obtaining a seat requires a share of 2% or more of the Fund's capital, noting that Arab countries are distributed across three or more seats within the Board of Directors. He explained that Saudi Arabia holds a single seat, in addition to a seat that includes 11 Arab countries including Egypt and the Maldives. Meanwhile, some other Arab countries such as Libya, Morocco, Algeria, and Tunisia are part of Iran's seat or within the African groups' seat, such as Sudan. He pointed out that the voice of Arab countries is heard within the Fund's Board of Directors as long as decisions are made by a majority of members, for example, 13 members out of a total of 25. He also noted that some major decisions, such as increasing the Fund's capital, require approval of 85% of the total shares, indicating that the decision requires the United States' approval due to its 16.6% share, which gives it the power to veto any such decision.
KEYWORDS
MENTIONED ENTITIES 10
Mohamed Maait
👤 Person_MaleExecutive Director at the International Monetary Fund and representative of the Arab group
United States of America
📍 Location_CountryHolds the largest share of the IMF's capital at 16.6%
Saudi Arabia
📍 Location_CountryHolds a single seat in the International Monetary Fund
Egypt
📍 Location_CountryPart of a seat that includes 11 Arab countries in the IMF
Libya
📍 Location_CountryPart of Iran's seat or African groups' seats in the IMF
Morocco
📍 Location_CountryPart of Iran's seat or African groups' seats in the IMF
Algeria
📍 Location_CountryPart of Iran's seat or African groups' seats in the IMF
Tunisia
📍 Location_CountryPart of Iran's seat or African groups' seats in the IMF
Sudan
📍 Location_CountryPart of the African groups in the IMF
IMF Board of Directors
🏛️ OrganizationThe body that makes decisions within the International Monetary Fund