Bretton Woods Agreement Law and Legal Definition

Bretton Woods Agreement is an agreement establishing the basic framework for the International Monetary Fund and World Bank. It was signed in 1944. It established a fixed exchange rate linked to the U.S. dollar, with other countries pegging their currency to the dollar. It created the International Monetary Fund (IMF), as well as the International Bank for Reconstruction and Development (IBRD). The agreement was so called because it was signed in Bretton Woods, New Hampshire.