The International Monetary Fund has roped in India as a member of its financial transactions plan.

The plan includes around 30 countries, which contribute up to 40 per cent of their membership quota obligations in cash.

Officials said foreign exchange reserves of almost $88 billion had boosted India's confidence to lend to the IMF in cash instead of using its special drawing rights.

Special drawing rights include a country's contribution to its membership quota obligation by way of government securities, which can be encashed by the IMF when it needs funds for any of its 184 member countries.

The officials said developed countries like the US, the UK, France, Germany and Japan chipped in 40 per cent of their membership quota obligations in cash, against 10 per cent by most of the developing and poor countries.

Till 1990-91, India contributed almost a quarter of its membership obligation in cash. However, the financial crisis in 1991 forced it to reduce the cash component to 10 per cent and rely on government securities for the balance.

India borrowed from the IMF during 1981-84 and 1991-93, and repaid the $2.5 billion debt a few years ago.

It is now a net lender, which is expected to strengthen its case for an increase in its membership quota in the IMF, in the next review scheduled for 2005.

In the last six months, India contributed $355 million to the IMF in cash. Of this, $350 million was lent to the IMF to support Brazil, while another $5 million went to Burundi.

The officials said India's cash component had increased to 15-16 per cent from about 10 per cent in 2002-03. It would touch 40 per cent in due course, they said.