Why does Govt Borrow Money from World Bank or IMF,where it can Print the Money inhouse ?(plz tell in detail)?

Question by nareshsabhnani: Why does Govt Borrow Money from World Bank or IMF,where it can Print the Money inhouse ?(plz tell in detail)?
From: Naresh Sabhnani
MBA
Jaipur

Best answer:

Answer by Jazzy
The Government does not have permission to print the money as much as it wants. The amount of money printed is decided based on the Gold reserve at the RBI, and various other factors. If more money is printed than that, the value of rupee will go down, and there will be chaos in the market. So, the government borrows money from the World Bank or IMF, thus balancing the World’s Economic System.

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