The Smithsonian Agreement was a pivotal international accord signed in December 1971, which ended the fixed exchange rates established at the Bretton Woods Conference of 1944 and substituted a floating currency exchange rate.
Special Drawing Rights (SDRs) are supplementary foreign exchange reserve assets, created and maintained by the International Monetary Fund (IMF). Known informally as 'paper gold', SDRs were first issued in 1970 with the aim to supplement member countries' official reserves, providing liquidity and enhancing global financial stability.
