The International Monetary Fund (IMF) and the World Bank, established at Bretton Woods, have historically been dominated by the USA and Western European countries, reflecting the post-World War II global power structure. However, the rise of new economic powers, particularly the BRICS nations (Brazil, Russia, India, China, South Africa) and other emerging economies, has led to significant challenges to this established dominance.

One of the primary ways rising powers challenge this dominance is by demanding reforms in voting shares and quotas. The allocation of voting power in both institutions is based on a quota system, which largely reflects a country's economic size and contribution to the global economy. Emerging economies argue that their current quotas do not accurately represent their increased economic weight and contribution to global GDP. They advocate for a reallocation of these shares to give them a greater voice and influence in decision-making, which would dilute the disproportionate power held by the USA and Western Europe.

Secondly, there is a strong push for changes in leadership selection. Traditionally, the head of the IMF has always been a European, and the head of the World Bank an American. Rising powers view this as an anachronistic arrangement that undermines the legitimacy and universality of these institutions. They demand a more merit-based and geographically diverse selection process for these top positions, allowing candidates from developing countries to lead these global financial bodies.

Thirdly, and perhaps most significantly, rising powers have begun to create alternative multilateral institutions. China, for instance, spearheaded the establishment of the Asian Infrastructure Investment Bank (AIIB), which offers an alternative source of financing for infrastructure projects, often with less stringent conditionalities than the World Bank. Similarly, the BRICS nations founded the New Development Bank (NDB), aiming to mobilize resources for infrastructure and sustainable development projects in emerging markets and developing countries. These new institutions provide developing nations with more choices for financing and reduce their reliance on the IMF and World Bank, thereby challenging the latter's monopoly and influence.

Fourthly, rising powers are increasingly vocal in advocating for policy reforms within the IMF and World Bank. They challenge the traditional Western-centric policy prescriptions and conditionalities, which they argue often fail to account for the unique developmental contexts and priorities of developing countries. They push for policies that are more inclusive, flexible, and tailored to foster sustainable and equitable growth in the Global South.

Finally, these nations are collectively promoting a vision of a more multipolar global financial architecture. By coordinating their positions in various international forums and through their own institutions, they aim to foster a more balanced and representative global economic governance system, where power is distributed more equitably among a wider range of states, rather than concentrated in the hands of a few traditional powers. While reforms within the IMF and World Bank have been slow, the collective pressure and the emergence of alternatives signify a gradual but persistent shift in the global financial landscape.