Ims if sarjeevan

216
-1

Published on

executive mba oil & gas - international finance - international monetary system

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
216
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Ims if sarjeevan

  1. 1. International Monetary System Sarjeevan Sainbhi Sarjeevan Sainbhi 1
  2. 2. Bretton Woods System: 1945–1972• Signing of Articles of Agreement of the International Monetary Fund (IMF).• Creation of sister institution i.e. The international Bank of Reconstruction and Development (IBRD), better known as the World Bank. Sarjeevan Sainbhi 2
  3. 3. Bretton Woods System: 1945–1972• Design of the Gold-Exchange System British German French Pound Mark Franc Par value U.S. Dollar Pegged at $35/oz. Gold Sarjeevan Sainbhi 3
  4. 4. Bretton Woods System: 1945–1972• Triffin Paradox• Special Drawing Rights (SDRs) – “Portfolio” of currencies.• Smithsonian Agreement : G-10. Sarjeevan Sainbhi 4
  5. 5. The Flexible Exchange Rate Regime: 1973-Present• Followed the Demise of the Bretton Woods system.• Jamaica Agreement• Plaza Accord: G-5• Louvre Accord: G-7 Sarjeevan Sainbhi 5
  6. 6. Fixed vs. Flexible Exchange rate regime• Key feature of flexible exchange rates: – Easier external Adjustments – National Policy Autonomy• Drawback: Exchange rate uncertainty may hamper international trade & investment. Sarjeevan Sainbhi 6
  7. 7. Ideal International Monetary system• Liquidity• Adjustment• Confidence “IMS should be able to provide the world economy with sufficient monetary reserves to support the growth of international trade and investment” Sarjeevan Sainbhi 7

×