7 Maintenance of Value and Investment
  • 1 0000000404811396https://isni.org/isni/0000000404811396International Monetary Fund

Abstract

Maintenance of value as discussed in this chapter must be distinguished from the adjustments made to take account of changes in exchange rates that have been discussed in Chapter 6. Maintenance of value is obligatory, in contrast to adjustments that are discretionary. All the adjustments discussed in Chapter 6 result in modifications of the instruments under which the adjustments are made or of the practice the instruments prescribe. Maintenance of value, however, takes place under provisions or practices that are not modified as the result of actions taken because of changes in exchange rates.