Table of ContentsIntroductionCreating a firewall against the crisisReforming the IMF's lending frameworkReforming IMF governance to better reflect the global economyIntroductionThe Vienna Initiative brought together the IMF, the European Bank for Reconstruction and Development, the European Investment Bank and the World Bank, EC and ECB, central banks of home and host countries, regulatory and tax authorities, as well as the largest active Western banking groups in Europe. It helped ensure that foreign banks remained engaged in Eastern Europe and that overall commitments remained intact, in conjunction with IMF and EU supported programs for Hungary, Bosnia and Herzegovina, Latvia, Romania and Serbia. Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”? Get the original essay As commitments to maintain bank exposures under the Vienna Initiative expired with the end of supported programs by the IMF and the EU, the Vienna Initiative participants remain in close contact. They are ready to address renewed risks of excessive deleveraging in Eastern and Central Europe and to strengthen supervisory cooperation as cross-border banking groups come under financial pressure. The Vienna Initiative exercises monitoring functions with respect to each IMF member country under Article IV of the Vienna Agreement. Law. The current economic and financial situation of the country and the projects for the coming years are analyzed and evaluated. It is proposed that bilateral consultations be complemented by multilateral international comparisons, financial connections and impulse flows on a broader regional and international scale, as well as by systemic stability issues and the identification of national policies that can harm the global balance. crisis firewall Increasing financial resources available for IMF support to member countries has been a key part of efforts to overcome the global financial crisis. In 2009 and 2010, members provided additional financial assistance to the Fund through bilateral borrowing agreements for approximately 170 billion in Special Drawing Rights (SDRs). These resources were then incorporated into new expanded borrowing agreements, increasing their size from 34 billion SDRs to 370 billion SDRs (approximately $510 billion). In 2012, in response to deteriorating global financial conditions, a number of members committed to increasing IMF resources through a new round of bilateral borrowing. By the end of 2015, 35 agreements totaling approximately SDR 280 billion ($390 billion) had been finalized. The 14th General Review of Quotas, approved in December 2010, doubled the IMF's permanent resources to SDR 477 billion (about $663 billion). Today, the Fund's total lending capacity (including quotas, NABs, and 2012 borrowing agreements after prudential balances) stands at approximately SDR 690 billion (approximately $950 billion). Additionally, to increase the Fund's lending capacity, in 2009, members agreed to make a general allocation of SDRs equivalent to $250 billion at the time, resulting in a tenfold increase in SDRs. This represented a significant increase in reserves for many states, particularly low-income countries. Reforming the IMF lending framework Firstly, the Flexible Credit Line (FCL) was introduced in April 2009 and further enhanced in August 2010, is a lending tool for countries with very strong fundamentals..