In today’s global economy, where economic developments and policies in one country affect other countries and financial market information is transmitted around the world instantaneously, the IMF’s role in monitoring economic and financial developments and policies in member countries is more vital than ever before. The IMF has the mandate under its Articles of Agreement to oversee the exchange rate policies of its member countries to ensure the effective operation of the international monetary system. It exercises this “surveillance” responsibility by holding regular discussions with its member countries about their economic and financial policies, and by continuously monitoring and assessing economic and financial developments at the country, regional, and global levels. In these ways, the IMF can help signal dangers on the horizon and enable members to take early corrective policy actions.