The OECD was established with 18 members from Western Europe and North America in September 1961. The objective of the OECD is to seek the economic development of its member nations and international economic development, enlarging assistance to developing nations and encouraging free trade.
In order to implement its principal objective efficiently, OECD advises member nations to adopt and observe codes of capital movement liberalization. OECD codes of invisible trade liberalization include foreign payment and the transfer of transaction capital as well as its conclusion of contracts on foreign payments and the transfer of transaction capital.
Given these points, the scope of capital movement liberalization has enlarged further, with more than eight IMF provisions for ordinary trade.