Share Of US Dollar In Global Foreign Reserves Down By 10% - IMF Chief

The US dollar's share of world currency reserves has dropped by approximately 10% to slightly below 60%, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said on Tuesday

WASHINGTON (UrduPoint News / Sputnik - 19th April, 2022) The US dollar's share of world Currency reserves has dropped by approximately 10% to slightly below 60%, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said on Tuesday.

"US Dollar has reduced its share in reserves by about 10%, from 70 to slightly under 60%," Georgieva told a virtual meeting held by the IMF.

The world has seen the diversification of reserve currencies in recent decades, and this situation has allowed other countries with sound institutions to play a more significant role in the market, she added.

While acknowledging that the international community will face "more dynamism in the world of money," the IMF chief ruled out the chance of moving away from the US dollar in the near future.

"We are in a rapidly changing world but fundamentals continue to matter tremendously. When you have a vibrant competitive economy, it works wonders in terms of your standing in the world," she said.

She also noted that the rapid development of digital currency would create "some implications" for how reserves are going to look in the future.

US Treasury Secretary Janet Yellen expressed confidence last week that it will be "a long time, if ever," before the dollar is replaced as the world's key reserve currency.