IMF freezes SDR.
a crisis that threatened to push Athens out of Europe’s currency union. Greece has since clinched a new bailout deal. “The national bank has no plans for an easy and quick loosening of controls related to Greek-owned banks in Serbia, as pressures from that side have not subsided yet,” Tabakovic told journalists.
The International Monetary Fund said yesterday it will freeze its benchmark currency basket until October 2016, giving markets more time to adjust to the possible addition of China’s yuan as part of a review of global reserve currencies. The IMF board is scheduled to decide in November whether the yuan will join the Special Drawing Rights basket. Beijing loosened government controls on the yuan this month, allowing its value to fall sharply. The IMF saw the policy shift as a step toward a freer exchange rate, potentially setting the stage for the yuan to become part of the SDR basket. The decision announced in a statement yesterday, however, would defer the implementation of any move to include the yuan. Beijing, keen for its currency to have equal billing with the euro, yen, pound and dollar, has been pushing for the yuan to be included in the SDR basket, which determines the mix of currencies that countries like Greece receive as IMF disbursements.