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SDRs are an international reserve assets and the fund's unitofaccount.
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SDRs are international reserve assets and the fund's unitofaccount.
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Money serves three functions: as a medium of exchange, a unitofaccount and a store of value.
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Central bank governor Zhou Xiaochuan has proposed instead a greater role for the Special Drawing Right, the International Monetary Fund's in-house unitofaccount.
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The bancor would become the unitofaccount between nations, which means it would be used to measure a country's trade deficit or trade surplus.