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Ashika
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AshikaKnowledge Contributor
Asked: August 19, 20242024-08-19T17:07:47+05:30 2024-08-19T17:07:47+05:30In: Education

The International Monetary Fund (IMF) created an international reserve asset to supplement existing reserves in response to global demand, which is known as:

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The International Monetary Fund (IMF) created an international reserve asset to supplement existing reserves in response to global demand, which is known as:
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  1. Ashika
    Ashika Knowledge Contributor
    2024-08-19T17:08:43+05:30Added an answer on August 19, 2024 at 5:08 pm

    The International Monetary Fund (IMF) defines and maintains special drawing rights (SDRs), which are additional foreign exchange reserve assets (IMF). SDRs are the IMF’s units of account, not a currency in and of themselves. They represent a claim on IMF member countries’ currency, which they can be traded for. SDRs were formed in 1969 to fill a gap in preferred foreign exchange reserve assets such as gold and US dollars. Special drawing rights have the ISO 4217 currency code XDR and the numeric number 960.

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