economics easy MCQ

Special Drawing Rights (SDRs), an international reserve asset created by the IMF, are also colloquially known as:

  1. Paper Gold
  2. Digital Euro
  3. Shadow Currency
  4. Fiat Reserves

Answer: Paper Gold

Created in 1969 to supplement member countries' official reserves, SDRs are not a currency themselves but a potential claim on the freely usable currencies of IMF members. They were termed 'Paper Gold' because they were initially intended to serve as a substitute for gold in international settlements.

Topic International Economics - Institutions
Exam Relevance SSC, Railway, UPSC
More economics Questions Back to all questions