Agreement In Article
4. Where the Fund`s holdings in the currency of an outgoing member are greater than the amount owed to it and no agreement is reached on the accounting method within six months of the date of withdrawal, the former member is required to repay the excess currency in a freely usable currency. The repayment is made at the rates at which the Fund would sell these currencies at the time of the Fund`s exit. The outgoing member is required to complete the withdrawal within five years of the date of revocation or a longer period set by the Fund, but is not required to repay more than one-tenth of the Fund`s excess assets on its currency at the time of exit, plus other purchases of the currency during that semester , over a period of one semester. If the member who retires does not fulfil this obligation, the fund may, in each market, liquidate in an orderly manner the amount of money that should have been repaid. 2. If the Fund`s holdings in the member`s currency are not sufficient to pay the net amount owed by the Fund, the balance is paid in a freely usable currency or in some other form that can be agreed upon. If the Fund and the outgoing member fail to reach an agreement within six months of the date of withdrawal, the currency in question, which the Fund holds, is immediately paid to the outgoing member. The balance payable is paid in ten semi-annual instalments over the next five years. Each of these tranches is paid, at the Fund`s choice, either in the outgoing member`s currency acquired at the exit of the fund, or in a freely usable currency. 4. If a member has not reached an agreement with the Fund within the three-month period covered in paragraph 3 above, the Fund uses the currencies of other members assigned to that member in accordance with paragraph 2 (d) to repay the member`s currency which is allocated to other members. Any currency awarded to a member who has not reached an agreement is used, as far as possible, to exchange currency allocated to members who have entered into agreements with the Fund under 3.
After the expiry of the deadline, the Fund pays interest on all remaining balances of the special drawing rights held by a terminating participant, and the terminating member pays a fee for all remaining commitments due to the Fund at the hours and rates prescribed in Article XX. Payment is made in special drawing rights. A resilient participant is authorized to obtain special drawing rights with a freely usable currency to pay fees or investments in a transaction with a designated participant by the Fund or in agreement with another holder, or to hold special drawing rights that he or she received as an interest in a transaction with a designated participant pursuant to Article XIX , Section 5 or in agreement with another holder. Formal agreement between two or more parties to do something. Agreements have often been established in advance of a lease or transportation contract. They defined the conditions to be included. In many ways, they duplicate the acts that result from them. They also worked as contracts, for example for the planned sale of wood, wood, coal, stone or other products. They could also be seen as preliminary speeches for marriages, marriages, exchange, arbitration – in fact, anything that requires an agreement between two or more parties.
Below, you will find an example of the articles of the agreement: the existence of articles of the agreement does not necessarily mean that the transaction was actually carried out! In addition to commitments made with respect to special drawing rights arising from other articles of this agreement, each participant undertakes to cooperate with the Fund and other participants to ensure the proper functioning of the Underwriting Rights Department and the correct use of special drawing rights in accordance with this agreement and to make the Special Drawing Right the main reserve asset of the international monetary system.