The Roles of the WB, IMF, and WTO in the Acceleration of Globalization

BUS 360 Social Impact of Business
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Describe the roles of the World Bank (WB), International Monetary Fund and World Trade Organization (WTO) in the acceleration of globalization
Background
Globalization refers to increased economic and political integration, where people are interconnected across larger distances. Information technology has made it easier to communicate to trade and support movement of capital, goods, and services across borders. Globalization has had a more profound impact on the economic front, and the global recession of 2008/2009 showed that the world financial markets were interconnected in a way that affected the world economy. The World Bank, International Monetary Fund, and the World Trade Organization are some of main international financial and trade institutions associated with acceleration of globalization.
The World Bank (WB)
The World Bank was established in 1944, with the main aim of providing loans, resources to countries, long-term financing, giving advice and identifying the most appropriate policies as affecting the economic sectors and structure. The World Bank has continued to provide debt relief to low-income countries, highlighting governance issues to facilitate development and participation of these countries in the global economy. The low-income countries increasingly rely on the World Bank's advice when managing their debt levels, making it easier to attract foreign direct investments (FDI). The World Bank has also addressed problems with the economic structures of the middle-income countries allowing them to maintain financial stability.
The World Bank has also facilitated private investment, with the developed countries increasingly extending their business operations on a global scale. This has accelerated globalization, with brands and companies mainly from the developed countries having access to other markets. Developed countries have also relied on information technology to transfer their knowledge to the other parts of the world. The countries receiving the loans are in turn more open for trade with the developed countries, and this has improved project investment because of better financing. In areas that were considered too risky, the bank has financed projects allowing private companies to make inroads while facilitating open trade across borders (Schneider, 2012).
International Monetary Fund
The IMF is a sister organization to the World Bank, but the organization was created to facilitate currency exchanges among member countries (Krueger, 2006). The IMF has facilitated global trade and transactions through stabilizing foreign exchange. The IMF has also sought to ensure that the international market system remains stable while focusing on the major world currencies and markets. Nowadays the organization increasingly considers macroeconomic factors and political risk as concerns that affect the global economy. Since the IMF removes barriers to the currency system, the organizations complement the initiatives of the World Bank. The major currencies of the world are used in international trade, and the IMF has to maintain exchange stability. This provides ...