US treasury points to dangers of sovereign wealth

Clay Lowery, acting under-secretary for international affairs at the US treasury, has asked the International Monetary Fund and the World Bank to compile best-practice guidelines for sovereign wealth funds.

He said that the funds could bring about new risks to the international financial system and endanger cross-border capital flows.

China, who formally opposed the IMF's new surveillance framework, is one of several emerging nations with large reserves which is planning to set up a sovereign

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Geoeconomic reserve management

The world order is evolving. Whether, and how, the international economy remains integrated or shifts into spheres of influence has consequences for central bank policy and reserve management.

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