## IMF Executive Board Approves the Applications of Five Institutions to Become Holders of Special Drawing Rights

_IMF News, February 21, 2023_

## Source details

**Canonical URL:** [IMF Executive Board Approves the Applications of Five Institutions to Become Holders of Special Drawing Rights](https://www.imf.org/en/news/articles/2023/02/21/exec-board-approves-applications-5-institutions-become-holders-sdr)

## Other formats

- [Markdown version](/en/news/articles/2023/02/21/exec-board-approves-applications-5-institutions-become-holders-sdr/index.md)
- [Structured JSON version](/en/news/articles/2023/02/21/exec-board-approves-applications-5-institutions-become-holders-sdr/index.json)
- [Bundle manifest](/en/news/articles/2023/02/21/exec-board-approves-applications-5-institutions-become-holders-sdr/bundle-manifest.json)

## Bibliographic details
- Published: February 21, 2023

---

### Executive Board decision and timeline
- The Executive Board of the International Monetary Fund (IMF) approved on February 8, 2023 the applications of five institutions to become prescribed holders of Special Drawings Rights (SDRs).
- Press Release No. PR2347
- Publication date on the IMF site: February 21, 2023
- Press contact: PRESS OFFICER: Nicolas Mombrial; Phone: +1 202 623-7100; Email: MEDIA@IMF.org; @IMFSpokesperson

### Institutions approved
- Caribbean Development Bank (CDB)
- Development Bank of Latin America (known as Corporacion Andina de Fomento or CAF)
- European Bank for Reconstruction and Development (EBRD)
- European Investment Bank (EIB)
- Inter-American Development Bank (IADB)
- Approval of these institutions brings the number of prescribed holders to twenty.

### Rights, permitted uses, and operational arrangements for prescribed holders
- Prescribed holders may acquire, hold and use SDRs in operations with other prescribed holders and participants in the SDR Department.
- The SDR Department maintains records on SDR transactions, holdings, and allocations.
- All IMF members are currently participants in the SDR Department.
- Under current IMF decisions, prescribed holders may exchange SDRs for currency, and use SDRs in certain operations, including:
  - loans,
  - settlement of financial obligations,
  - swaps,
  - pledges,
  - transfer as security for the performance of financial obligations,
  - forwards,
  - donations.
- Prescribed holders may elect to participate in the SDR Voluntary Trading Agreements (VTAs) or enter into bilateral agreements to conduct their exchanges of SDRs.

### Limitations that apply to prescribed holders
- Unlike participants in the SDR Department, prescribed holders:
  - do not receive allocations of SDRs,
  - may not request an exchange of SDRs in transactions with designation.[1]

### Legal basis and classification of approved applicants
- The IMF’s Articles of Agreement authorize the Fund to prescribe as holders of SDRs:
  - (i) non-members,
  - (ii) members that are not participants in the SDR Department,
  - (iii) institutions that perform functions of a central bank for one or more IMF member countries,
  - (iv) other official entities.
- The five applicants approved on February 8, 2023 are classified as “other official entities”.

### Current list of prescribed holders (as attached)
- African Development Bank (AFDB)
- African Development Fund (AFDF)
- Arab Monetary Fund (AMF)
- Asian Development Bank (ADB)
- Bank for International Settlements (BIS)
- Bank of Central African States (BEAC)
- Caribbean Development Bank (CDB)
- Central Bank of West African States (BCEAO)
- Development Bank of Latin America (Corporacion Andina de Fomento or CAF)
- Eastern Caribbean Central Bank (ECCB)
- European Central Bank (ECB)
- European Bank for Reconstruction and Development (EBRD)
- European Investment Bank (EIB)
- Inter-American Development Bank (IADB)
- International Bank for Reconstruction and Development (IBRD)
- International Development Association (IDA)
- International Fund for Agricultural Development
- Islamic Development Bank
- Latin American Reserve Fund (FLAR) - Former Andean Reserve Fund
- Nordic Investment Bank

[1] For additional information please see IMF Financial Operations Handbook, including Box 4.9 on the designation mechanism.

*Source: IMF Communications Department press release posted February 21, 2023.*

---


## References

- [https://www.imf.org/-/media/images/imf/bios/imfboard.jpg](https://www.imf.org/-/media/images/imf/bios/imfboard.jpg)
- [The Executive Board](https://www.imf.org/external/np/sec/memdir/eds.aspx)
- [Special Drawing Rights (SDRs) -- A Factsheet](https://www.imf.org/en/about/factsheets/sheets/2023/special-drawing-rights-sdr)
- [Press Releases](https://www.imf.org/en/news/searchnews)
- [PRESS CENTER](http://presscenter.imf.org/)
- [Special Drawings Rights](https://www.imf.org/en/About/Factsheets/Sheets/2023/special-drawing-rights-sdr)
- [Voluntary Trading Agreements (VTAs)](https://www.imf.org/en/Publications/Policy-Papers/Issues/2021/10/26/Annual-Update-on-SDR-Trading-Operations-498096)
- [IMF Financial Operations](https://www.elibrary.imf.org/display/book/9781484330876/ch04.xml)
- [https://www.imf.org/en/home](https://www.imf.org/en/home)

_Source: https://www.imf.org/en/news/articles/2023/02/21/exec-board-approves-applications-5-institutions-become-holders-sdr_