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Author: International Monetary Fund. Finance Dept.
Publisher: International Monetary Fund
ISBN: 149833914X
Category : Business & Economics
Languages : en
Pages : 16
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Book Description
In December 2010, the Fund concluded the limited gold sale (403 metric tons) approved by the Board in September 2009. The main purpose of the sale was to generate profits to fund an endowment that would diversify the Fund’s income sources away from lending income. In addition, the Board agreed in July 2009, before approving the sale, to a strategy pursuant to which resources linked to the gold sale would contribute to boosting the Fund’s concessional lending capacity. Total profits from the gold sale were SDR 6.85 billion. The profits significantly exceeded those assumed in April 2008 when agreement was reached on the key features of the new income model, and in July 2009 at the time of the discussions on a financing package to support reform of the Fund’s concessional lending activities. This reflects the substantial increase in the market price of gold throughout the period of the gold sales. With the gold sale complete, it is timely for the Board to revisit the issues relating to the use of the profits. This paper seeks to provide a basis for initial Board consideration of this topic. It focuses primarily on the options for use of the windfall profits above a price of US$935 per ounce, which was the average price required to generate resources for the endowment at the assumed gold price underlying the new income model and to implement the agreed strategy to provide SDR 0.5–0.6 billion in resources linked to gold sales as part of the 2009 concessional financing package.
Author: International Monetary Fund. Finance Dept.
Publisher: International Monetary Fund
ISBN: 149833914X
Category : Business & Economics
Languages : en
Pages : 16
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Book Description
In December 2010, the Fund concluded the limited gold sale (403 metric tons) approved by the Board in September 2009. The main purpose of the sale was to generate profits to fund an endowment that would diversify the Fund’s income sources away from lending income. In addition, the Board agreed in July 2009, before approving the sale, to a strategy pursuant to which resources linked to the gold sale would contribute to boosting the Fund’s concessional lending capacity. Total profits from the gold sale were SDR 6.85 billion. The profits significantly exceeded those assumed in April 2008 when agreement was reached on the key features of the new income model, and in July 2009 at the time of the discussions on a financing package to support reform of the Fund’s concessional lending activities. This reflects the substantial increase in the market price of gold throughout the period of the gold sales. With the gold sale complete, it is timely for the Board to revisit the issues relating to the use of the profits. This paper seeks to provide a basis for initial Board consideration of this topic. It focuses primarily on the options for use of the windfall profits above a price of US$935 per ounce, which was the average price required to generate resources for the endowment at the assumed gold price underlying the new income model and to implement the agreed strategy to provide SDR 0.5–0.6 billion in resources linked to gold sales as part of the 2009 concessional financing package.
Author: International Monetary Fund. Finance Dept.
Publisher: International Monetary Fund
ISBN: 1498338623
Category : Business & Economics
Languages : en
Pages : 19
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Book Description
In April 2011, Executive Directors held a preliminary discussion on the use of the profits of SDR 6.85 billion from the Fund’s limited gold sale. They noted their expectation that at least SDR 4.4 billion of the profits would be placed in an endowment within the Investment Account, and affirmed their support for the 2009 financing package for low-income countries (LICs), including the distribution to the Fund’s membership of up to SDR 0.7 billion from the profits linked to gold sales, with the expectation that most members will return equivalent funds to the Poverty Reduction and Growth Trust (PRGT). There was a wide range of views among Directors on the three main options presented for the windfall of SDR 1.75 billion, but no consensus favoring a single option. The main options presented included use of resources linked to the windfall to boost the capacity of the PRGT, counting the windfall towards precautionary balances, or investing the windfall profits as part of the Investment Account’s endowment. Many Directors indicated that they could support a combination of two or more of the main options.
Author: International Monetary Fund
Publisher: International Monetary Fund
ISBN: 1498338496
Category : Business & Economics
Languages : en
Pages : 28
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Book Description
Lower-than-expected demand over the recent past has raised the lending capacity of the PRGT for the years 2012–14. Staff’s latest projections suggest PRGT demand in 2011 could be about SDR 1.4 billion, up from SDR 1.2 billion in 2010. Assuming the 2009 LIC financing package is completed, these projections would be consistent with lending capacity of about SDR 2.1 billion per year from 2012–14, or SDR 1.5 billion per year through 2015. Most of the targeted loan resources under the 2009 package have now been secured, but additional pledges of about SDR 1 billion in loans are still needed. Fourteen members have pledged SDR 9.8 billion in new loan resources for the PRGT, compared to the target of SDR 10.8 billion. New borrowing agreements totaling SDR 9.5 billion have been signed with thirteen lenders. Eight of these agreements provide loan resources in SDRs, and seven creditors also participate in the voluntary encashment regime.
Author: International Monetary Fund. Finance Dept.
Publisher: International Monetary Fund
ISBN: 1498339859
Category : Business & Economics
Languages : en
Pages : 27
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Book Description
This paper revisits the use of the remaining gold sales windfall profits (SDR 1.75 billion). Directors previously considered three main options: using them as part of a strategy to boost the capacity of the PRGT; counting them towards precautionary balances; or investing them in the Investment Account’s endowment. In past discussions, Directors expressed a wide range of views on these options, and the resources have continued to be held in the Investment Account pending a decision by the Executive Board.
Author: International Monetary Fund. Strategy, Policy, & Review Department
Publisher: International Monetary Fund
ISBN: 1498340121
Category : Business & Economics
Languages : en
Pages : 56
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Book Description
The 2009 reforms have broadly achieved their objective of closing gaps and creating a streamlined architecture of facilities that is better tailored to the diverse needs of LICs. Supported by the financing package to boost the PRGT’s lending capacity for 2009–14 and the accompanying doubling of access, the Fund was able to mount an effective response to LICs’ needs during the global financial crisis.
Author: International Monetary Fund. Finance Dept.
Publisher: International Monetary Fund
ISBN: 1498339050
Category : Business & Economics
Languages : en
Pages : 40
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Book Description
This paper reviews the Fund’s income position for FY 2011 and FY 2012. The paper updates projections provided at the FY 2011 midyear review and sets out related proposed decisions for the current and next financial years. A companion paper provides an update on the consolidated medium-term income and expenditure framework.
Author: Christoph Herrmann
Publisher: Springer Science & Business Media
ISBN: 3642233090
Category : Law
Languages : en
Pages : 721
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Book Description
The third volume of the European Yearbook of International Economic law focuses on two major topics of current academic and political interest. Firstly, it adresses the 10th anniversary of China's accession to the WTO and its implications; secondly, it deals with different legal aspects of global energy markets.
Author: International Monetary Fund
Publisher: International Monetary Fund
ISBN: 149833895X
Category : Business & Economics
Languages : en
Pages : 12
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Book Description
This paper updates the Fund’s consolidated income and expenditure outlook from the projections in January 2011. The paper incorporates and extends the income and budget projections in the companion papers, Review of the Fund’s Income Position for FY 2011 and FY 2012 (4/7/11) and FY 2012–FY 2014 Medium-Term Budget (3/31/11). The paper also provides an update on the projected accumulation of precautionary balances over the medium term. This responds to a request made during the September 2010 discussion of the adequacy of precautionary balances that progress towards targets be assessed also in the context of the annual income discussion.
Author: Jonathan Spall
Publisher: McGraw Hill Professional
ISBN: 0071759115
Category : Business & Economics
Languages : en
Pages : 224
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Book Description
A golden investing opportunity you can't afford to miss! As most investors know, gold is a "safe haven" asset that can actually increase in value during stock market slumps and recessions. But what else do you really know about this commodity? Are you taking full advantage of it? Do you know how to work it into your overall investment strategy? How to Profit in Gold is a comprehensive tutorial on making gold a profi table part of your investment strategy. Jonathan Spall, a 25-year veteran of the precious metals market, provides an inside look at how the precious metal is traded and priced, along with valuable insight into gold's unique position in the marketplace. Filled with practical advice designed to help you get started right away, How to Profit in Gold explores such topics as: Simple and complex gold trading processes The pivotal role central banks play in the gold market Gold exchange-traded funds (ETFs) How spot gold is traded Why gold mining companies have traditionally hedged, and why they no longer do so Strategies for investing in the retail market Spall provides an extensive glossary of terms you'll need to know, and he debunks various myths regarding this market, including the Fed's supposed scheme to keep gold prices artificially low during the 1990s. The effects of global economic growth, the weakened dollar, the credit crunch, and the recent creation of enormous funds each affect the gold market; put them together and they add up to potential profits gold investors have never before dreamed of. Gold is a surprisingly small market. When you learn how to navigate it, the potential for excellent rewards becomes evident. Can you afford not to start investing in gold?
Author: Mr.Dong He
Publisher: International Monetary Fund
ISBN: 149836327X
Category : Business & Economics
Languages : en
Pages : 42
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Book Description
New technologies are driving transformational changes in the global financial system. Virtual currencies (VCs) and the underlying distributed ledger systems are among these. VCs offer many potential benefits, but also considerable risks. VCs could raise efficiency and in the long run strengthen financial inclusion. At the same time, VCs could be potential vehicles for money laundering, terrorist financing, tax evasion and fraud. While risks to the conduct of monetary policy seem less likely to arise at this stage given the very small scale of VCs, risks to financial stability may eventually emerge as the new technologies become more widely used. National authorities have begun to address these challenges and will need to calibrate regulation in a manner that appropriately addresses the risks without stifling innovation. As experience is gained, international standards and best practices could be considered to provide guidance on the most appropriate regulatory responses in different fields, thereby promoting harmonization and cooperation across jurisdictions.
