Accountability and Transparency

The IMF is accountable to its 191 member countries and has a system of checks and balances to ensure accountability— ranging from internal and external audits to risk management and evaluations of its policies and operations. Similarly, the IMF staff is expected to observe the highest ethical and workplace standards of conduct.

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Committees of the Executive Board

The general purpose of the Board committees is to examine the issues under their purview in greater detail and forward to the full Board matters requiring further discussion. Board committees are not decision-making bodies; only the full Board has decision-making authority. Board committees are reconstituted every two years following the regular election cycle for Executive Directors. The composition of committee members takes into account geographic and gender balance; a need for rotation, with some continuity; and maintenance of a reasonable distribution of the burden of committee work among Executive Directors. Executive Directors may participate in all meetings of the Executive Board’s committees, except the Ethics Committee, whose meetings are restricted to members and the permanent secretary of the committee. In addition to its committees, the Executive Board has established a Working Group on Gender Diversity as an advisory body, to support progress on gender representation and inclusion in the Executive Board.

Committee on Agenda and Board Procedures (APC): To make recommendations to the Executive Board to support the development and orderly implementation of an effective management-guided work program and agenda of the Executive Board. To this end, the Committee shall promote such procedures for timely document distribution, the conduct of Board meetings, timing, and logistics, and related matters as will avoid bunching in the Board’s schedule, allow for adequate time for preparation by Executive Directors, and enable the efficient use of time spent in Board meetings.
Committee on Executive Board Administrative Matters (CAM): To consider and report to the Executive Board for decision general aspects of administrative policy relating to the Executive Directors, Alternates or their Senior Advisors, Advisors, and Administrative Assistants, referred to it by the Executive Board or by an Executive Director. Individual cases which involve individual Directors or Alternates or their Senior Advisors, Advisors, and Administrative Assistants with no wider implications shall be considered and decided by the Committee upon the request of an Executive Director without reference to and consideration by the Executive Board. The Committee may consider and make recommendations on the specific administrative policy involved. To develop, consider, and report to the Executive Board for decision, budgetary proposals for the aggregate and individual Offices of Executive Directors and to carry out those related budgetary responsibilities assigned to the Committee by the Board.
Ethics Committee (EC): An Ethics Committee, comprised of five Executive Directors, considers matters relating to the Executive Board’s Code of Conduct. In addition, if requested by Executive Directors, the Committee gives guidance to them on ethical aspects of conduct, including the conduct of their Alternates, Senior Advisors, Advisors, and Administrative Assistants. The Ethics Committee is also responsible for advising on issues that may arise in connection with the application of the standards of ethical conduct to the Managing Director pursuant to the Managing Director’s contract. The Executive Board selects a Chairperson, four members, and five alternate members from among Executive Directors. They are selected on the occasion of a general election of Executive Directors, and serve for two years. If the Chairperson, a member or an alternate member resigns, a new Chairperson, member or alternate member shall be selected by the Executive Board to complete the remainder of the term.
Evaluation Committee (EVC): To follow closely the evaluation function in the Fund and advise the Executive Board on matters relating to evaluations, including those of the IEO. The Committee will also consider the Annual Report, with ad hoc staff membership.
Committee on Liaison with the World Bank and Other International Organizations (LC): With a view to promoting greater coherence in the international economic, financial, trade, and development agenda, particularly respecting economic capacity building, the Committee shall take stock of developments in the policies and programs of other international organizations with complementary mandates to that of the Fund, in particular the World Bank and the World Trade Organization. The Committee shall gather information on, and maintain close liaison with, these institutions as needed, with a view to keeping abreast of evolving developments. It will make recommendations to the Executive Board regarding Fund relations with these organizations, as appropriate.
Pension Committee (PC): To decide all matters of a general policy nature arising under the Staff Retirement Plan, and all other matters, including any interpretation of the provisions of the Plan, required to be decided by it under the provisions of the Plan or submitted to it by any Committee appointed by it. The members of the Committee are the Managing Director, ex officio, four Executive Directors elected biennially by the Executive Directors, one staff member appointed by the Managing Director, and one staff member elected biennially by the participants.
Ad Hoc Audit Selection Committee (ASC): The ad hoc Audit Selection Committee is convened to recommend a suitable candidate as a new member of the External Audit Committee whose staggered three-year appointments leave a vacancy every year. Traditionally, five Executive Directors have comprised the ASC.
Working Group on Gender Diversity: To promote more inclusive, credible, and strengthened decision-making by the Executive Board through enhanced representation of women on the Board, and Senior Advisors and Advisors in the Offices of Executive Directors. To this end, the Working Group shall develop recommendations for the Executive Board on its evolving gender diversity strategy; promote that strategy within the Board and with the membership; and regularly report progress toward implementation of the strategy to the Executive Board, for referral to the Board of Governors.

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Checks and Balances

The IMF conducts audits of all its operations. Audit mechanisms are set up to improve governance, transparency, and accountability and include an external audit firm, the independent External Audit Committee, and the Office of Internal Audit (OIA).

The External Audit Committee is independent of the IMF and its Executive Board. The committee reports to the Board of Governors and has general oversight responsibilities for the annual external audit of the IMF’s financial statements and the internal audit framework.

The OIA is an independent assurance and advisory function designed to protect and strengthen the IMF. The OIA’s mandate is twofold: (1) to assess the effectiveness of the IMF’s governance, risk management, and internal controls; and (2) to act as a consultant for the improvement of the IMF’s business processes by advising on best practices. To ensure its independence vis-à-vis IMF departments and offices, the OIA reports directly to the Managing Director and maintains a functional reporting relationship with the External Audit Committee. The OIA’s 2026 audit coverage encompassed several key areas, including management of the IMF’s Investment Account and Trust Investment Assets; administrative aspects in connection with the IMF’s Long-Term Technical Assistance Experts; departmental practices for safeguarding the IMF’s “Crown Jewels”; and the IMF’s procurement process and practices.

The OIA also issued the “Fifteenth Periodic Monitoring Report (PMR) on the Status of Management Implementation Plans in Response to Board-Endorsed Independent Evaluation Office Recommendations.” Despite the IMF staff’s continued heavy workload, the implementation rate was comparable to that of the 14th PMR and exceeded the average over the past seven PMR monitoring cycles.

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Precautionary Balances

The IMF’s precautionary balances—which consist of adjusted balances in the general and special reserves—are a key element of the institution’s multilayered framework for managing financial risk and safeguarding members’ resources. Precautionary balances provide a buffer to protect the IMF against potential losses resulting from credit, income, and other financial risks. They help protect the value of reserve assets represented by member countries’ positions in the IMF and underpin the exchange of assets through which the IMF provides financial assistance to countries with balance of payments needs. The medium-term precautionary balances target of SDR 25 billion was reached at the end of FY 2024.

The Executive Board of the IMF conducted the “2026 Review of the Adequacy of the Fund’s Precautionary Balances” on March 20, 2026. Directors broadly agreed that the current target of precautionary balances, together with other elements of the IMF’s financial risk management framework and the International Financial Reporting Standard 9 provisioning framework, continue to provide a robust level of financial protection for the IMF’s balance sheet and creditor claims. Most Directors supported retaining the current medium-term target for precautionary balances at SDR 25 billion, while a few Directors favored raising the target. Directors generally agreed to retain the current floor for precautionary balances at SDR 20 billion. As of April 30, 2026, the precautionary balances stood at SDR 26.3 billion (US$36.1 billion).

Safeguards Assessments

When the IMF provides financing to a member country, it carries out a safeguards assessment to establish reasonable assurance that the country’s central bank can appropriately manage IMF resources and provide reliable monetary data under an IMF-supported program. The assessments evaluate central bank operations in six areas: (1) governance arrangements, (2) external audit mechanism, (3) legal structure and autonomy, (4) financial reporting framework, (5) internal audit mechanism, and (6) system of internal controls. From 2000 to the end of April 2026, 414 assessments were conducted, covering 106 central banks; four of these assessments were completed in FY 2026, and eight were in progress at the end of the financial year.

The IMF also monitors the progress of central banks as they work to improve their safeguards frameworks and implement recommendations issued in assessments. The monitoring continues as long as IMF credit remains outstanding, and about 73 central banks are currently subject to monitoring. Safeguards seminars are also conducted as part of outreach activities. During FY 2026, three regional seminars were held and covered leading international practices in the safeguards’ framework areas, including topical issues in central bank operations.

In addition, the IMF conducts fiscal safeguards reviews of state treasuries when a member requests exceptional access to IMF resources, whenever a substantial portion of the funds—at least 25 percent—is directed toward financing the state budget and whenever there is high combined credit exposure with at least 25 percent of resources also directed to budget financing. At the end of FY 2026, one fiscal safeguards review had been completed, and one was in progress.

Managing Enterprise Risks

The Office of Risk Management (ORM) performs the IMF’s centralized enterprise risk management function and serves as the second line of defense in the institution’s risk governance architecture. ORM provides independent oversight and challenge of first-line risk assessments, helping ensure that the IMF’s most significant enterprise risks are identified, assessed, and managed consistently across activities. Through the implementation of the IMF’s Enterprise Risk Management (ERM) framework and Board-approved risk tolerance statements, it benefits from greater clarity and consistency in risk practices; enhanced accountability and transparency in risk oversight; and a more structured, institution-wide approach to managing risks. By aggregating risks across the institution and providing forward-looking analysis, the ERM framework supports management and the Executive Board in making informed, risk-aware decisions.

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Learning from Experience

The Independent Evaluation Office (IEO) conducts independent and objective evaluations of IMF policies and operations based on criteria relevant to the IMF’s mandate. Fully independent of IMF management and staff, and operating at arm’s length from the Executive Board, the IEO serves to strengthen the learning culture within the IMF, bolster the institution’s external credibility, and support the Executive Board’s governance and oversight responsibilities. In FY 2026, the IEO completed its evaluation of “IMF Advice on Fiscal Policy” and continued to progress on two ongoing evaluations: “The IMF and Climate Change” and “IMF Engagement on Debt Issues in Low-Income Countries.” The IEO also published its first Evaluation Policy, reflecting and updating the foundational framework guiding its work, and announced two new evaluations to launch in 2026: “IMF Advice on Monetary Policy” and “Political Economy Considerations in IMF Work.” More information about the IEO is available at https://ieo.IMF.org.

Ethics and Staff Conduct

The IMF has a comprehensive ethics framework. Under the 2026 IMF Ethics Advisor—Terms of Reference, the Ethics Advisor, as Head of the Ethics Office (ETO), advises management and the Human Resources Department on promotion of ethical standards and provides information, training, and outreach, as well as confidential ethics advice and guidance, to IMF personnel. The ETO oversees the Annual Ethical Conduct and Core Values Certification and the Financial Disclosure Program for IMF Staff and serves as the Designated Officer for institutional conflicts of interest. In FY 2026, the ETO relaunched its triennial IMF-wide mandatory ethics training and responded to significantly higher demand for ad hoc ethics training at the IMF headquarters and overseas.

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Engagement with the Public

The IMF meets regularly with political leaders and country authorities and routinely engages with a wide range of private sector representatives, the media, and nongovernment stakeholders such as the academic community, civil society organizations, parliamentarians, labor unions, and youth leaders. Opportunities for such two-way communication allow the IMF both to explain its approaches and to learn from others to improve its policy advice.