Developing nations including India and South Africa has supported the idea that the International Monetary Fund should become a lender of last resort so that nations do not require build up stocks of currency reserves for times of emergency.

Backing the idea, Dominique Strauss-Kahn, MD of IMF said the “pooling of reserves” would act as insurance for nations in times of emergency.

The Group of 24 nations suggested that IMF should push for greater use of special drawing rights.

The G-24 also demanded for more votes for developing nations at the IMF.

It may be noted here that global economic power is shifting increasing to emerging economies from the developed economies.