He rejected the opposition's argument that the contribution should not have been made at a time when the Indian economy is in a shambles.
"I don't think there is anything wrong in our contributing to IMF. The contribution will be used only if needed and it will also continue to be part of India's reserves," the PM averred.
Singh said that he had consulted the leaders of Russia, Brazil, China and South Africa before announcing the contribution at the recent G-20 summit in Mexico.
He added that all five BRICS countries decided to jointly contribute 75 billion USD to the IMF so that it could create a 430 billion USD bailout fund for those European Union-member nations which were facing a remarkable debt crisis.