SDR

India's reserve position with the IMF rose by $8 million to $4.62 billion in the previous week

The IMF said the board's decision on May 10, should help broaden the use of SDRs, while increasing the attractiveness of the SDR as a reserve asset

The proposal follows the guidance from the International Monetary and Financial Committee (IMFC) at the 2023 annual meetings

SDR is an alternate reserve currency floated by the IMF, which the member countries can freely exchange between themselves

The Reserve Bank said India's holding of IMF's Special Drawing Rights (SDR) has gone up to SDR 13.66 billion which is equivalent to $19.41 billion as per exchange rate

SDR is an alternate reserve currency floated by the IMF

IMF Managing Director Kristalina Georgieva said she is "confident" the financial organisation will distribute a new allocation of Special Drawing Rights (SDR) to member countries by mid-August

Special Drawing Rights - created as a reserve asset 50 years ago - should be scrapped and the US dollar should be recognised as the world's sole reserve currency

The central bank also extended the SDR scheme benefit to ARCs which are members of any Joint Lenders Forum mechanism