Quarterly Review

Publications by quarter

BIS Quarterly Review, December 2006
Internationalising a currency: the case of the Australian dollar

11 December 2006

by Robert McCauley



Asian policymakers are giving consideration to allowing their currencies to be used by non-residents. If policy allows this and a robust fixed income market provides support, the Australian experience indicates that a currency can internationalise fairly quickly, particularly if it offers a yield pickup.

JEL classification: F3, G1.