Read the following sentences carefully :
I. International Monetary Fund (IMF) is one of the biggest moneylenders for any country in the world.
II. Its all the member states have equal voting rights.
Choose the correct option :

Question

Read the following sentences carefully : 
I. International Monetary Fund (IMF) is one of the biggest moneylenders for any country in the world. 
II. Its all the member states have equal voting rights. 
Choose the correct option :

Accepted Answer

Option 1 is the correct answer, which states that statement I is correct and statement II is incorrect. Let's delve into the explanation:

1. **Explanation for Statement I:**
   - The International Monetary Fund (IMF) is indeed one of the largest moneylenders for countries around the world. It provides financial assistance to member countries facing balance of payments problems, helping them stabilize their economies. The IMF's role as a significant financial institution in the global economy is well-established, making statement I correct.

2. **Explanation for Statement II:**
   - Statement II claims that all member states of the IMF have equal voting rights. This is incorrect. The IMF operates on a quota system, where each member's voting power is determined by its financial contribution to the IMF, known as its quota. Larger economies contribute more and thus have more voting power. This disproves the notion of equal voting rights among all member states, making statement II incorrect.

3. **Why Other Options are Incorrect:**
   - **Option 2:** This option suggests that statement I is incorrect and statement II is correct. As explained, statement I is correct because the IMF is a major moneylender, and statement II is incorrect due to the unequal voting rights based on the quota system.
   - **Option 3:** This option claims that both statements I and II are incorrect. However, statement I is correct, as the IMF is a significant moneylender, making this option incorrect.
   - **Option 4:** This option posits that both statements I and II are correct. While statement I is correct, statement II is incorrect due to the unequal voting rights, thus making this option incorrect.

In conclusion, Option 1 is the correct choice because it accurately reflects the correctness of statement I and the incorrectness of statement II, based on factual information about the IMF's operations and voting structure.