## Annual Update on SDR Trading Operations

_Policy Papers, October 28, 2021_

## Source details

**Canonical URL:** [Annual Update on SDR Trading Operations](https://www.imf.org/en/publications/policy-papers/issues/2021/10/26/annual-update-on-sdr-trading-operations-498096)

## Other formats

- [Markdown version](/en/publications/policy-papers/issues/2021/10/26/annual-update-on-sdr-trading-operations-498096/index.md)
- [Structured JSON version](/en/publications/policy-papers/issues/2021/10/26/annual-update-on-sdr-trading-operations-498096/index.json)
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## Bibliographic details
- Published: October 28, 2021
- Series: Policy Papers
- DOI: https://doi.org/10.5089/9781513599793.007

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### Overview
- Provides an update on the status of the SDR trading market and operations.
- Notes that in over three decades, SDRs have been exchanged for freely usable currencies in transactions by agreement primarily through the Voluntary Trading Arrangements (VTAs).
- Describes VTAs as bilateral arrangements between the Fund and SDR participants or prescribed holders, in which the VTA members agree to buy and sell SDRs within certain limits.
- States that a fraction of transactions by agreement—sales or acquisitions of SDRs—were arranged directly between parties.

### Key findings and market structure
- SDR exchanges have occurred primarily through Voluntary Trading Arrangements (VTAs).
- VTAs are bilateral arrangements between the Fund and SDR participants or prescribed holders.
- VTA members agree to buy and sell SDRs within certain limits.
- Some transactions by agreement were arranged directly between parties rather than through VTAs.

### Subject areas and keywords
- Subject: Currencies, Freely usable currencies, International trade, Monetary policy, Money, Political economy, Trading arrangements
- Keywords: Allocation of SDRs; Currencies; Freely usable currencies; Middle East and Central Asia; SDR acquisitions; SDR exchanges; SDR sale; SDR sales; SDR Trading; SDR Trading Capacity; SDR trading transaction; Trading arrangements; Transactions by Agreement; Transparency; transparency policy; Use of SDRs; Voluntary Trading Arrangements (VTAs); VTA capacity; VTA market; VTA member

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## Content in this bundle

- **Policy Paper**
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_Source: https://www.imf.org/en/publications/policy-papers/issues/2021/10/26/annual-update-on-sdr-trading-operations-498096_