(C) Center for Economic and Policy Research
This unaltered story was originally published on CEPR.NET
------------



Eighty Countries Have Already Used Their Special Drawing Rights, but More of these Resources Are Needed [1]

[]

Date: 2022-01-26 16:49:13+00:00

On August 23, 2021, the International Monetary Fund (IMF) allocated $650 billion worth of Special Drawing Rights (SDRs) to its members to add liquidity to the global economy during the unprecedented health and economic crises caused by COVID-19.

SDRs, which are an international reserve asset, can be exchanged for hard currency, used to pay the IMF, or donated among member countries. The injection of these assets by the IMF can be used by governments to stabilize their currencies and shore up their reserves, or for a number of social or health policies — the latter being an especially important use for SDRs during the pandemic, as IMF Managing Director Kristalina Georgieva has said.

Around a third of the SDRs were allocated to developing countries (excluding China, whose currency is included in the basket of currencies that determines the value of SDRs).

CEPR has been publishing monthly reports on the use of SDRs based on accounting calculations derived from IMF SDR data, IMF country reports, and statements by government officials.

The following is a preview of key findings that we will explore in greater depth in our upcoming report on the use of SDRs since August 2021:

[END]

[1] Url: https://cepr.net/eighty-countries-have-already-used-their-special-drawing-rights-but-more-are-needed/

(C) Center for Economic and Policy Research, cepr.net
Content is licensed for republication through Creative Commons Atribution International 4.0.
https://creativecommons.org/licenses/by/4.0/

via Magical.Fish Gopher News Feeds:
gopher://magical.fish/1/feeds/news/cepr/