This paper analyzes the impact of higher SDR interest rates on IMF members with negative net SDR Department positions. To do so, it constructs SDR forward ...
Sep 15, 2023 · The Financial Cost of Using Special Drawing Rights: Implications of Higher Interest Rates. Author: Mr. Neil Shenai, Mr. Nicolas End, Jakree ...
The Financial Cost of Using Special Drawing Rights: Implications of Higher Interest Rates
Book by Ayah Said, Mr. Nicolas End, and Neil Shenai
Since the August 2021 SDR allocation, the SDR interest rate has risen about 390 basis points through end-June 2023. This paper analyzes the impact of higher SDR interest rates on IMF members with negative net SDR Department positions. ... Google Books
Originally published: September 15, 2023
Authors: Neil Shenai, Ayah Said, Jakree Koosakul, and more
Sep 15, 2023 · Next Issue · Cover IMF Working Papers. The Financial Cost of Using Special Drawing Rights: Implications of Higher Interest Rates. Author: Mr.
Sep 15, 2023 · Our analysis shows that the expected costs of charges (interest) in net present value terms are estimated to have more than tripled, while the ...
People also ask
What are the benefits of Special Drawing Rights?
The SDR is an international reserve asset created by the IMF to supplement the official reserves of its member countries. The SDR is not a currency. It is a potential claim on the freely usable currencies of IMF members. As such, SDRs can provide a country with liquidity.
What is the SDR interest rate?
The SDR interest rate is determined weekly on each Friday and is based on a weighted average of representative interest rates on 3-month debt in the money markets of the five SDR basket currencies (i.e., the U.S. dollar, Japanese yen, euro, and pound sterling, and the Chinese renminbi).
What are the currency amounts that make up the SDR?
The SDR is not a currency, but its value is based on a basket of five currencies—the US dollar, the euro, the Chinese renminbi, the Japanese yen, and the British pound sterling.
What is the difference between Special Drawing Rights and reserve tranche?
Special drawing rights are monetary reserve currencies created by the International Monetary Fund. A credit tranche refers to the different levels of funds the IMF releases in its lending activities to member countries. What Is the International Monetary Fund (IMF)?
Neil Shenai & Mr. Nicolas End & Jakree Koosakul & Ayah Said, 2023. "The Financial Cost of Using Special Drawing Rights: Implications of Higher Interest Rates," ...
... Financial Cost of Using Special Drawing Rights: Implications of Higher Interest Rates Prepared by Neil Shenai, Nicolas End, Jakree Koosakul, Ayah Said ...
Feb 9, 2023 · Our analysis shows that the expected costs of charges (interest) in net present value terms are estimated to have more than tripled, while the ...
The Financial Cost of Using Special Drawing Rights: Implications of Higher Interest Rates. Mr. Neil Shenai, Mr. Nicolas End, Jakree ...
The Financial Cost of Using Special Drawing Rights Implications of Higher Interest Rates by Mr. Neil Shenai, Mr. Nicolas End, Jakree Koosakul, Ayah Said 34 ...
This paper documents the evolution of international financial integration since the global financial crisis using an updated dataset on external assets and ...