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International Reserves: Supply, Demand and Adequacy

In: World Finance and Adjustment

Author

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  • Graham Bird

Abstract

International reserves are those assets that a country’s monetary authorities can use either directly or by converting them into other assets to support the exchange rate when the balance of payments moves into deficit. The precise classification of reserves is, in fact, rather arbitary, although reserves are conventionally defined to incorporate gold, convertible foreign exchange, Reserve Positions in the International Monetary Fund (RPF) — credit that is automatically available — Special Drawing Rights (SDRs) and European Currency Units (ECUs).

Suggested Citation

  • Graham Bird, 1985. "International Reserves: Supply, Demand and Adequacy," Palgrave Macmillan Books, in: World Finance and Adjustment, chapter 5, pages 73-113, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-17938-1_5
    DOI: 10.1007/978-1-349-17938-1_5
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