02164cas a2200253 a 4500 AALejournalIMF018223 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484338704 1018-5941 BD-DhAAL BD-DhAAL Tovar Mora, Camilo. Reserve Currency Blocs : A Changing International Monetary System? / Camilo Tovar Mora, Tania Mohd Nor. Washington, D.C. : International Monetary Fund, 2018. 1 online resource (42 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students What is the extent of currency diversification in the international monetary system? How has it evolved over time? In this paper, we quantify the degree of currency diversification using regression methods of currency co-movements to determine the extent to which national currencies across the world belong to a reserve currency bloc. We then use these estimates to calculate the economic size of each currency bloc. A key contribution of our paper is that we quantify the size of the Chinese renminbi bloc. Our analysis suggests that the international monetary system has transitioned from a bi-polar system - consisting of the U.S. dollar and the euro - to a tri-polar one that includes the renminbi. The dollar bloc is estimated to continue to dominate, having the largest share in global GDP (40 percent), followed by the renminbi (30 percent) and the euro blocs (20 percent). The geographical area of influence for the RMB bloc appears to be most evident among the BRICS' currencies. The British pound and the Japanese yen blocs appear to play minor roles. Mode of access: Internet Mohd Nor, Tania. IMF Working Papers; Working Paper ; No. 2018/020 Full text available on IMF http://elibrary.imf.org/view/journals/001/2018/020/001.2018.issue-020-en.xml IMF e-Library