Abstract

The global financial crisis changed the balance of power in the international system in a way that enhanced the influence of the BRIC countries, and started discussions about restructuring of the international monetary and financial architecture. The main objective of this paper is to investigate the impact of the global financial crisis on the international financial and monetary system within context of the changing balance of power and the increasing influence of the BRIC countries. To this end, debates and negotiations among the developed and developing countries at different international platforms such as the G-20 summits were analyzed. The developing countries’, particularly the BRIC countries’ calls to reform the international monetary system and the decision-making mechanisms of the IMF and the World Bank; and the developed countries’ attitude towards these reform proposals were investigated. It was concluded that the restructuring process of the international monetary and financial system will be shaped by international political dynamics as well as the course of the global crisis and economic factors. It is expected that governance reforms at the IMF and the World Bank will improve the representation of the developing countries and will enhance the legitimacy of these institutions. A slow and gradual transition to a more diversified international monetary system is anticipated.