* World Business Quick Take Nov 18, 2009
He restated his view that a new global currency might evolve out of the Special Drawing Right, the IMFs in-house unit of account. That probably has to be a basket, Strauss-Kahn said of the eventual replacement for the dollar. (Taipei Times, Taiwan -- World)
IMF Head Eyes Global Currency Change, Presses on Yuan Nov 17, 2009
Dominique Strauss-Kahn, the managing director of the International Monetary Fund, restated his view that a new global currency might evolve out of the Special Drawing Right, the Fund's in-house unit of account. "That probably has to be a basket," Strauss-Kahn said of the eventual replacement for the dollar. (ABC News -- Business)
Central African Republic - U.S.$ 16 M for Water And Sanitation Project Nov 5, 2009
1 Unit of Account = USD 1. 59 as of 3 November 2009. (allAfrica.com)
IMF sells 200 tonnes of gold to India Nov 3, 2009
The official said India's central bank paid on average about $US1045 an ounce for the gold and the transaction would be paid in hard currency and not in IMF Special Drawing Rights, the IMF's internal unit of account. Spot gold prices have rallied since September as dollar weakness has helped to spur consecutive weeks of gains. (Sydney Morning Herald -- Business)
Zimbabwe: IMF Funds Tug-of-War Enters Legal Arena Oct 31, 2009
In addition to its role as a supplementary reserve asset, the SDR serves as the unit of account of the IMF and some other international organisations though this role is slowly diminishing with increased regional cooperation especially within Europe. In a clear attack on Gono, Biti told MPs that: "This money was given to every country and no one can wake up one morning and say I looked for this money, I need to be congratulated.". (allAfrica.com)
Cape Verde Attains Middle Income Country Status Oct 30, 2009
1 UA (Unit of Account = 1. 56606 US$ in October 2009. (allAfrica.com)
Nero's ghost in Istanbul Oct 23, 2009
As implied by its label, the bancor was to be linked to gold and used as a unit of account and a currency for international settlement. National currencies were to serve essentially for domestic transactions and the bancor for international transactions. (Asia Times Online)
G24 nations urge significant IMF vote shift Oct 4, 2009
The G24 also called for an expanded role for IMF Special Drawing Rights, the fund's internal unit of account, in the international monetary system. - Reuters. (Business Report, South Africa)
ADB calls for Asian currency Oct 1, 2009
The regional approach could be more realistic as it would take decades for special drawing rights, the IMFs internal unit of account, to become a truly international currency, he said. A more realistic approach is to develop a multiple reserve currency system, he said. (The Star Online, Malaysia -- Business)
Audit the Fed, Then End It Sep 18, 2009
So that s why you have to have a stable unit of account. If you live in a primitive society, you d trade goods. (The American Conservative)
How China's Yuan Can Become a Global Currency Sep 16, 2009
To gain international stature, there must be strong demand by world traders, investors, and central bankers for the currency as a medium of exchange for foreign trade settlement, a unit of account for denominating international financial transactions, and a store of value for central banks' foreign exchange reserves. Economists generally agree there are three pillars for the internationalization of a currency: the size of the country's economy and its trade volume; the breadth, depth, and... (BusinessWeek)
Assertive China eyes influence Sep 15, 2009
Central bank governor Zhou Xiaochuan has proposed instead a greater role for the Special Drawing Right, the International Monetary Fund's in-house unit of account. 1. (India Times)
U.S.$ 78 Million Loan for Water and Sanitation Project in Nigeria Sep 4, 2009
1 UA (Unit of Account) = US $ 1. 57 as at 2/09/2009. (allAfrica.com)
Dollar Is Funny Money in Push for World Currency Aug 31, 2009
These are analogous to a currency and were originally intended to replace gold as an international unit of account. The SDR market, limited until now, could easily be expanded, especially if a number of countries band together and announce that they would hold a large fraction of their reserves in the IMF currency. (Bloomberg -- Columnists)
Peru Will Get $740 Million From IMF to Bolster Country's Foreign Reserves Aug 29, 2009
The SDRs are the institutions unit of account based on a basket of currencies. To contact the reporter for this story: in Lima at. (Bloomberg -- Latin America)
Alesco Financial Inc. Announces Second Quarter 2009 Financial Results Aug 18, 2009
However, if for accounting purposes the Company were to use the notional amounts of preference shares or subordinated interests that it directly owns as the unit of account, its net asset value could be materially different. As of June 30, 2009, the Company estimates the aggregate fair value of its investments in preference shares and subordinated interests of consolidated VIEs to be approximately $3. (PR Newswire)
China Construction Bank to Cut New Loans by 70% as Risks Rise, Zhang Says Aug 7, 2009
Chinese policy makers have said they favor an eventual shift in the global currency reserve system away from the dollar, suggesting wider use of an International Monetary Fund unit of account. For quite a few decades, the U.S. dollar is the best currency for international reserves, the currency to be used among us in the markets, Zhang said. (Bloomberg -- UK)
Japan Credit Rating Agency Affirms AfDB's AAA Rating Aug 3, 2009
1 UA (Unit of Account) = 1. 58223 US$ on 31/07/2009. (allAfrica.com)
China's Plans for Replacing the Dollar Jul 21, 2009
A favorite suggestion is the use of Special Drawing Rights (SDRs), the unit of account at the International Monetary Fund. Related. (Time.com)
China steps up attack on greenback's primacy Jul 10, 2009
Dai did not mention Special Drawing Rights (SDR), a unit of account used by the International Monetary Fund, which other Chinese officials have said could present a viable alternative to the US dollar as a global reserve currency. The People's Bank of China first suggested in March that the SDR - effectively a mixture of US dollars, euros, sterling and yen - was better suited than any single country's currency to be a yardstick for global trade and a reliable store of value. (Sydney Morning Herald -- Business)
* The yuan seeks converts Jul 9, 2009
Zhou Xiaochuan (Ppt), the governor of the Peoples Bank of China, called this spring for a greater role in the global financial system for special drawing rights, a unit of account used in dealings with the IMF. But He, the vice foreign minister, said on Sunday that such discussions were an academic exercise. Eswar Prasad, the former head of the IMFs China division, said that senior Chinese central bankers had told him that Zhous suggestions about using special drawing rights as a kind... (Taipei Times, Taiwan -- Business)
China Reassures on Dollar Debate Before G8 Jul 6, 2009
" China's central bank head launched the debate last March when he said the SDR, the International Monetary Fund's unit of account, might one day displace the dollar. The debate is highly sensitive in financial markets, which are wary of risks to U.S. asset values. Bankers reckon China holds perhaps 70 percent of its $1.95 trillion in official currency reserves in the dollar. Several emerging market countries have said they want to reconsider the dollar's role and see a more diversified... (ABC News -- Wire)
China Officials Call for Displacing Dollar, in Time Jul 6, 2009
The Special Drawing Right (SDR), a unit of account used by the International Monetary Fund, presents a viable alternative to the dollar as a global reserve currency, said Li Ruogu, chairman of the Export-Import Bank of China, a major state-run bank. "It is a feasible plan to reform the present SDR and make it into a real settlement currency, a universally accepted 'currency basket' that would replace the dollar at the heart of the monetary system," Li was cited as saying in Financial News, a... (ABC News -- Wire)
Dollar discomfort thrust onstage for Italy summit Jul 5, 2009
Beijing, equally, has reason to move carefully, even if Zhou Xiaochuan, head of the Chinese central bank, launched the debate last March when he said the SDR, the International Monetary Fund's unit of account, might one day displace the dollar. Some diplomats and bankers suggest Zhou's primary aim was to highlight attention on concern expressed by Premier Wen Jiabao about the safety of China's huge dollar holdings -- at risk if U.S. policy turns to greater tolerance of inflation. (Yahoo News -- Press Releases)
China's Zeng Peiyan Urges More Supervision of Reserve-Currency Countries Jul 3, 2009
The IMF should expand the functions of its unit of account, Special Drawing Rights, the report said. Zengs comments were in an online transcript. (Bloomberg -- Asia)
Press Release: IMF Approves Framework for Issuing Notes to the Official Sector Jul 2, 2009
The principal of the notes will be denominated in SDR, the Fund s unit of account, which is a currency basket composed of the U.S. dollar, Euro, Japanese Yen, and Pound sterling. Interest payments will be made quarterly, at the official , which is a weighted average of 3-month interest rates in these currencies. (IMF News)
IMF Board Authorizes Debut Bond Issue to Fund Economic Aid During Slowdown Jul 2, 2009
They act as a unit of account rather than a currency. The cash is disbursed in proportion to the money each member nation pays into the fund. (Bloomberg)
China Renews Call for `Stable' Dollar, Diversification of Monetary System Jul 2, 2009
The IMF should expand the functions of its unit of account, Special Drawing Rights, the report said. To contact the reporter on this story: Dune Lawrence in Beijing at. (Bloomberg -- Asia)
IMF Board Set to Authorize $150 Billion in First Bond Sale, Official Says Jul 1, 2009
Chinese officials have sought a greater role over time for the IMFs unit of account, called Special Drawing Rights or SDRs, in an effort to reduce the U.S. dollars dominance in the global economy ... They act as a unit of account rather than a currency. (Bloomberg -- Latin America)
Zhou Says China Currency-Reserve Policy `Stable,' Sees No `Sudden' Change Jun 29, 2009
Chinas proposal to expand the use of special drawing rights, the unit of account used by the International Monetary Fund, isnt a practical solution because they arent liquid, he said. The that measures the currencys performance against six trading partners rose 0. (Bloomberg -- Asia)
China urges US dollar replacement Jun 27, 2009
Mr Zhou caused a stir earlier this year when he said the dollar could eventually be replaced as the world's main reserve currency by the Special Drawing Right (SDR), which was created as a unit of account by the IMF in 1969. CURRENCY RESERVES Foreign currency held by a government or a central bank Used to pay foreign debt obligations or influence exchange rates The dollar is viewed as the world's reserve currency as the vast majority of reserves are held in the US currency Smaller amounts are... (BBC News -- Asia-Pacific)
China calls for end to US dollar domination Jun 27, 2009
In an essay in late March, Zhou caused a stir by suggesting that the Special Drawing Right, the IMF's unit of account, could eventually displace the dollar as the principal reserve currency. Friday's report not only advocated a full role for the SDR but said the IMF should be entrusted with managing a portion of its member countries' foreign currency reserves. (Sydney Morning Herald -- Business)
Press Release: IMF Executive Board Reviews Fund's Income Position and Sets Lending Rate for FY 2010 Jun 23, 2009
In addition, net administrative expenditures for FY 2009 are projected to be US$50 million below budget a temporary consequence of the restructuring process although this will be more than offset by the depreciation of the SDR, the Fund s unit of account, against the U.S. dollar. FY 2010 Lending Rate and Income Position. (IMF News)
Dollar's volatility leaves battle for reserve currency open Jun 18, 2009
The possibility of one reserve currency increasingly replacing another is clearly always open, given the freedom that contracting parties have to nominate the unit of account in which to conclude a contract ... The fact that the dollar is nominated as a unit of account by trading parties outside the US, or when the US government currency or bonds is used as a reserve of buying power by foreign investors, tells us that there is something unsuitable about a domestic currency that might have been... (Business Report, South Africa)
Dollar dilemma Jun 16, 2009
China's central bank governor caused a stir in March when he said the US dollar should be replaced as the world's largest reserve currency by the Special Drawing Right (SDR) - a unit of account issued by the International Monetary Fund. And Russian President Dmitry Medvedev said at the beginning of this month that the idea of a "supranational currency" should be discussed at the Bric summit. (BBC News -- Business)
Yuan in the ascendancy May 29, 2009
For this purpose he proposed to modify the IMF's Special Drawing Right (SDR), a synthetic reserve asset and unit of account created by international agreement in 1969 to supplement official reserves of member countries and to support the Bretton Woods fixed exchange rate system ... It was not a currency, but a unit of account, initially linked to gold at the fixed rate of 1 SDR per 0. (Asia Times Online)
The almighty yuan? May 16, 2009
The yuan, rather than the dollar, could eventually become a means of payment in trade and a unit of account in pricing imports and exports, as well as a store of value for wealth by international investors. Americans would pay the price. (The Star Online, Malaysia -- Business)
US economic crisis: Is the dollar history? May 9, 2009
Any currency, domestic or international, 00004000 must satisfy three criteria: it must serve as a unit of account, medium of exchange and a store of value ... The problem of a unit of account other than gold vexed financial planners after the setting up of the Bretton Woods institutions in the late forties ... Yet, this did not imply that the dollar need also be the unit of account. (India Times)
Banks pay interest on euro a/c for ACU May 8, 2009
ACU is an arrangement between the seven nations to settle international payments using the Asian monetary unit as the unit of account. Euro has been adopted as a settlement currency under the ACU mechanism with effect from January 1 this year. (India Times)
Special Drawing Rights: Held in reserve Apr 11, 2009
Although that is useful shorthand, the SDR is not, in fact, a currency, but rather the IMF s unit of account. The value of an SDR is defined as the value of a fixed amount of yen, dollars, pounds and euros, expressed in dollars at the current exchange rate. (The Economist)
* PRC cant lead recovery: expert Apr 7, 2009
Krugman told the Chinese-language Economic Daily News that the IMF created the special drawing right (SDR) in 1968 to be used as the worlds reserve currency, but nobody really used the SDR except as a unit of account. He made the comments following the Chinese central banks recent proposal to create a super-sovereign reserve currency to reform the international monetary system. (Taipei Times, Taiwan -- Sports)
Is the Dollar Doomed? Apr 6, 2009
"The frequency and increasing intensity of financial crises," Zhou said, "suggests the costs of such a system to the world may have exceeded its benefits." Zhou recommended turning Special Drawing Rights (SDRs), the unit of account used by the International Monetary Fund, into the premier international currency. Then a United Nations panel of economists led by Joseph Stiglitz, the Nobel laureate, concluded as well that a reformed financial system with a new No.1 international currency would help... (Time.com)
Yen Falls as Speculation Recession Reaching Bottom Reduces Safety Demand Apr 4, 2009
The dollars role as a reserve currency wont be threatened by the expansion in the IMFs unit of account, according to UBS AG, ING Groep NV and Citigroup Inc.. All but three of the emerging-market currencies tracked by Bloomberg gained against dollar this week as governments and companies borrowed more in international bond markets this week than at any time in the past two years. (Bloomberg -- Japan)
Argentina, China Central Banks Reach Accord on $10 Billion Currency Swap Apr 1, 2009
Trade relations between the two countries were not impaired or limited by using the U.S. dollar as the unit of account and the currency to settle these transactions, Ramos said in an e-mail. This should have little economic impact of substance. (Bloomberg -- Latin America)
Currency king Mar 27, 2009
The SDR, which as created in 1969 as a unit of account, was initially pegged to the dollar, but is now based on dollars, euros, sterling and yen. China's proposal would broaden the basket of currencies forming the SDR to include all large economies. (BBC News -- Business)
Geithner 'open' to China proposal on currency... Developing... Mar 26, 2009
The SDR also serves as the unit of account of the IMF and some other international organizations. Its value is based on a basket of key international currencies. (The Drudge Report)
Economists: U.S. "has to clean up dollar mess" Mar 26, 2009
The SDRs have been used as a unit of account among IMF members and other international organizations since introduction in 1969. Even before Zhou's remarks, a UN panel of financial experts had suggested that the world ditch the dollar in favor of a shared basket of currencies, Reuters reported. (Xinhuanet, China)
China suggests switch from dollar Mar 25, 2009
Mr Zhou said the dollar could eventually be replaced as the world's main reserve currency by the Special Drawing Right (SDR), which was created as a unit of account by the IMF in 1969. "The role of the SDR has not been put into full play, due to limitations on its allocation and the scope of its uses," he said. (BBC News -- Asia-Pacific)
Editor's Mailbag (Feb. 10) Feb 11, 2009
Economists tell us that money serves as a medium of exchange, a store of value and a unit of account. What they don t tell us is that it also serves as a commodity. (Albany Democrat-Herald, OR)
