the journal Halduskultuur

• Main Authors: Small States, International, Financal Institutions
• Other Authors: The Pennsylvania State University CiteSeerX Archives
• Format: Text
• Language: English
• Published: 2009
• Subjects: Iceland
• Online Access: http://citeseerx.ist.psu.edu/viewdoc/summary?doi=10.1.1.506.2675; http://www.halduskultuur.eu/2009/HilmarssonInternationalFinancialInstitutions.pdf

Conducting a constructive relationship with international financial institutions (IFIs) and in fact deciding which IFIs to seek membership of can be a challenge for small states like Iceland. Iceland is a member of the World Bank Group and the European Bank for Reconstruction and Development, but not a member of the regional development banks, i.e.: the Asian Development Bank, the Inter-American Development Bank and the African Development Bank. IFIs work both with the governments of emerging market economies in formulating and supporting policy reforms as well as with the private sector as private sector lead projects can help boost economic reconstruction in emerging markets. IFIs also support government projects that are subject to international competitive bidding and where both local and foreign firms can participate. This article will discuss the challenges faced by small states in working with IFIs both to support government reform in emerging market economies as well as in promoting private sector activities and investment in those economies. When supporting economic reconstruction in developing countries a small state like Iceland