The IMF was originally established in 1944 as part of the Bretton Woods Agreement.  During the Great Depression, countries significantly put in place trade barriers to improve their weakened economies. This has led to a depreciation of national currencies and a decline in world trade.  4. If a member has not reached an agreement with the Fund within the three-month period covered in paragraph 3 above, the Fund uses the currencies of other members allocated to that member in accordance with point (d) of item 2 (d) to repay the member`s currency that has been allocated to other members. Any currency awarded to a member who has not reached an agreement is used, as far as possible, to exchange currency allocated to members who have entered into agreements with the Fund under 3. “According to the needs of the governments of the richest companies, the IMF, the IMF has allowed crisis countries to borrow to avoid default in their repayments. In the downward spiral of debt, developing countries have had no recourse but to take on new debts to pay off old debts. Before granting them new loans at higher interest rates, the future leaders asked the IMF to intervene with the guarantee of additional repayment and requested a signed agreement with these countries. The IMF has therefore agreed to resume the flow of the “financial pump”, provided that the countries concerned first use this money to repay banks and other private lenders, while they restructure their economies at the discretion of the IMF: these are the famous conditionalities listed in the structural adjustment programmes.
The IMF and its ultra-liberal experts have taken control of the economic policies of sovereign countries. A new form of colonization was thus introduced. It was not even necessary to establish an administrative or military presence; Debt alone has maintained this new form of submission.  The role of the IMF was profoundly altered by exchange rate fluctuations after 1971. It moved to review the economic policy of countries under IMF loan contracts to determine whether a capital shortage is due to economic fluctuations or economic policies. The IMF also looked at what types of government policies would ensure economic recovery.  A particular concern of the IMF was to prevent financial crises such as those of Mexico in 1982, Brazil in 1987, East Asia in 1997-98 and Russia in 1998 from extending and threatening the entire global financial and monetary system.