The term 'Paper Gold' is associated with:

Explanation

The correct answer is the special drawing rights of the IMF. The term 'Paper Gold' is associated with the special drawing rights of IMF. Key Points Paper Gold is also calledSpecial Drawing Rights(SDRs) refers to the assets transferred by the International Monetary Fund to its member state as lending. All the members are obliged to accept it. It provides a bigger base of earning for the IMF. It is the currency of IMF and due to its acceptability, it is referred to as Paper Gold. The Special Drawing Rights (SDR) are basically an international reserve currency used as an asset, that was created by IMF in 1969 in order to supplement the existing official reserves of member countries. The member nations can exchange SDRs for hard currency at the IMF. The value of SDR is based upon a basket of key international currencies including the US Dollar, Euro, Yen, Pound sterling and Yuan. This basket compilation is reviewed every five years to ensure that it reflects the relative importance of currencies in the world’s financial system. Additional Information International Monetary Fund (IMF): Its headquarters is located at Washington D. C inthe United States. The IMF was founded in July 1944 at the United Nations Bretton Woods Conference in New Hampshire , United States . International Monetary Fund is an Organization of 190 countries . It is working to secure financial stability , facilitate international trade , promote high employment and economic growth and reduce poverty around the world. Kristalina Ivanova Georgieva is the current managing director of the International Monetary Fund since 2019