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IMF, World Bank should consult developing economies before deciding on them: RBI

July 21 (AZINS) Global financial institutions such as the International Monetary Fund (IMF) and the World Bank should consult developing economies before taking decisions on them, Reserve Bank of India (RBI) Executive Director Rabi Mishra said on Sunday.

Instead of imposing their decisions on member states, the IMF and the World Bank should consider the realities of the developing economies, he said while speaking at the conclusion of the three-day Kalinga Literary Festival here.

Mishra said the top-down approach hardly produces any result as countries such as China does not even attend the meetings of IMF.

Decisions of the global financial institutions would be more inclusive if they adopt a bottom-up approach instead of just conveying the desires of the US and UK, he said.

The RBI official further said financial regulations in India insulated the economy from the global economic crisis in 2008.

On his recently published book 'Systemic Risk and Macroprudential Regulations', Mishra said coordinated approach in decision making is the key feature of a robust economy.