Abstract
This paper seeks Executive Board approval of an amendment to Rule O-1 of the IMF’s Rules and Regulations, which specifies the currency amounts in the SDR valuation basket In accordance with Decision No. 17247-(22/44), adopted May 11, 2022, on the method of valuation of the SDR and Decision No. 16033-(16/17), adopted July 20, 2016 on the guidelines for the calculation of currency amounts in the SDR valuation basket, the amounts of each currency included in the SDR valuation basket, effective August 1, 2022, have been determined. These currency amounts are calculated in accordance with long-standing principles of continuity and stability of the SDR value in terms of currencies. The calculations ensure that on the transition day (today), the value of the SDR in U.S. dollars is the same under the new and the prevailing SDR valuation baskets. Moreover, at the average exchange rates for the three-month period ending today (May 2 through July 29, 2022), the share of each currency in the value of the SDR corresponds to the weight approved by the IMF Executive Board on May 11, 2022.
Proposed Decision
The following decision, which may be adopted by a majority of the votes cast, is proposed for adoption by the Executive Board:
Effective August 1, 2022, Rule O-1, which specifies the amounts of the currencies in the SDR valuation basket, shall be amended to read as follows:
“Rule O-1. The value of the SDR shall be the sum of the values of the following amounts of the following currencies:
| U.S. dollar | 0.57813 |
| Euro | 0.37379 |
| Chinese yuan | 1.0993 |
| Japanese yen | 13.452 |
| Pound sterling | 0.080870”. |
| U.S. dollar | 0.57813 |
| Euro | 0.37379 |
| Chinese yuan | 1.0993 |
| Japanese yen | 13.452 |
| Pound sterling | 0.080870”. |
Calculation of Currency Amounts to be Listed in Amended Rule O-1, Effective August 1, 2022
The exchange rates are expressed as U.S. dollars per currency unit.
The value in U.S. dollars of one SDR, rounded to six significant digits.
An adjustment of 0.00001 was applied to the U.S. dollar currency amount to meet the equality condition. For details on calculation and rounding of currency amounts, see http://www.imf.org/external/pp/longres.aspx?id=5055.
See Decision No. 17247-(22/44), adopted on May 11, 2022.
The total may not reflect the sum of displayed components due to rounding.
Calculation of Currency Amounts to be Listed in Amended Rule O-1, Effective August 1, 2022
| Transition Date Exchange Rates 1/ July 29, 2022 (TEX) | Base Period Avg. Exchange Rates 2/ May 2 – July 29 (BEX) | Final Currency Amounts (CA) 3/ | Currency Amounts | Currency Weights | ||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Valued at TEX (1) x (3) | Valued at BEX (2) x (3) | Implied by Final CA [(5) / (6)] * 100 | Board-adopted Weights 4/ | Difference | ||||||
| (1) | (2) | (3) | (4) | (5) | (7) | (8) | (9) | |||
| U.S. dollar | 1 | 1 | 0.57813 | 0.578130 | 0.578130 | 43.38 | 43.38 | 0.00 | ||
| Euro | 1.02415 | 1.04501 | 0.37379 | 0.382817 | 0.390615 | 29.31 | 29.31 | 0.00 | ||
| Chinese yuan | 0.148424 | 0.148866 | 1.0993 | 0.163163 | 0.163649 | 12.28 | 12.28 | 0.00 | ||
| Japanese yen | 0.00750610 | 0.00751931 | 13.452 | 0.100972 | 0.101150 | 7.59 | 7.59 | 0.00 | ||
| Pound sterling | 1.2182 | 1.22608 | 0.080870 | 0.098516 | 0.099153 | 7.44 | 7.44 | 0.00 | ||
| On July 29, 2022 | SDR1 = US$ | 1.32360 2/ | = | Sum | 1.32360 2/ 5/ | 1.33270 (6) | ||||
The exchange rates are expressed as U.S. dollars per currency unit.
The value in U.S. dollars of one SDR, rounded to six significant digits.
An adjustment of 0.00001 was applied to the U.S. dollar currency amount to meet the equality condition. For details on calculation and rounding of currency amounts, see http://www.imf.org/external/pp/longres.aspx?id=5055.
See Decision No. 17247-(22/44), adopted on May 11, 2022.
The total may not reflect the sum of displayed components due to rounding.
Calculation of Currency Amounts to be Listed in Amended Rule O-1, Effective August 1, 2022
| Transition Date Exchange Rates 1/ July 29, 2022 (TEX) | Base Period Avg. Exchange Rates 2/ May 2 – July 29 (BEX) | Final Currency Amounts (CA) 3/ | Currency Amounts | Currency Weights | ||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Valued at TEX (1) x (3) | Valued at BEX (2) x (3) | Implied by Final CA [(5) / (6)] * 100 | Board-adopted Weights 4/ | Difference | ||||||
| (1) | (2) | (3) | (4) | (5) | (7) | (8) | (9) | |||
| U.S. dollar | 1 | 1 | 0.57813 | 0.578130 | 0.578130 | 43.38 | 43.38 | 0.00 | ||
| Euro | 1.02415 | 1.04501 | 0.37379 | 0.382817 | 0.390615 | 29.31 | 29.31 | 0.00 | ||
| Chinese yuan | 0.148424 | 0.148866 | 1.0993 | 0.163163 | 0.163649 | 12.28 | 12.28 | 0.00 | ||
| Japanese yen | 0.00750610 | 0.00751931 | 13.452 | 0.100972 | 0.101150 | 7.59 | 7.59 | 0.00 | ||
| Pound sterling | 1.2182 | 1.22608 | 0.080870 | 0.098516 | 0.099153 | 7.44 | 7.44 | 0.00 | ||
| On July 29, 2022 | SDR1 = US$ | 1.32360 2/ | = | Sum | 1.32360 2/ 5/ | 1.33270 (6) | ||||
The exchange rates are expressed as U.S. dollars per currency unit.
The value in U.S. dollars of one SDR, rounded to six significant digits.
An adjustment of 0.00001 was applied to the U.S. dollar currency amount to meet the equality condition. For details on calculation and rounding of currency amounts, see http://www.imf.org/external/pp/longres.aspx?id=5055.
See Decision No. 17247-(22/44), adopted on May 11, 2022.
The total may not reflect the sum of displayed components due to rounding.