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Special Drawing Rights
(redirected from IMF Special Drawing Rights)

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Special Drawing Rights (SDR)
A form of international reserve assets, created by the IMF in 1967, whose value is based on a portfolio of widely used currencies.

Special Drawing Rights
A reserve currency created by the International Monetary Fund to reduce the pressure on gold and the U.S. dollar in international transactions. It was established in the late 1960s and is mainly used in the IMF's internal accounting. A few currencies are pegged to the SDR; they derive their value from a currency basket consisting of the U.S. dollar, the Japanese yen, the British pound, and the euro.


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Strauss-Kahn said resources for the fund, "which could climb to $100 billion a year," could be raised through an allocation to IMF member countries of IMF special drawing rights, or SDRs.
The five-year bonds will be denominated in IMF special drawing rights, an IMF currency basket composed of the US dollar, euro, yen, and British pound.
Earlier this month, the Group of 20 nations tripled the IMF's resources to USD750bn, and also agreed to support a general allocation of USD250bn worth of IMF Special Drawing Rights (SDRs) to IMF member countries to boost liquidity amid troubled credit markets.
 
 
 
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