Special Drawing Rights (SDRs): A Lifeline for the Global South and a Boost to the Global Economy

This policy brief by the Institute for Economic Justice argues for a new $650 billion Special Drawing Rights (SDR) allocation by the IMF, advocated through the G20, to provide liquidity to the Global South for climate adaptation and economic stability without increasing debt.

• Special Drawing Rights (SDRs) serve as an international reserve asset from the IMF that provides immediate financial resources to developing nations without increasing their debt, supporting fiscal stability and investments in social protection, healthcare, and climate adaptation.
• The author advocates for the G20 to push for a new $650 billion SDR issuance during the 2024 summit in Brazil to help Global South nations meet Sustainable Development Goals and address the climate crisis, noting that advanced economies also benefit through stimulated trade and increased imports.
• Current accounting practices record SDRs as liabilities instead of equity, which artificially increases debt levels; the document calls for the IMF to revert to previous accounting methods to increase fiscal space and encourage SDR donations from wealthy nations for development and debt repayment.

APA

katie (2024). Special Drawing Rights (SDRs): A Lifeline for the Global South and a Boost to the Global Economy. Institute for Economic Justice. https://iej.org.za/resource/policy-brief/special-drawing-rights-sdrs-a-lifeline-for-the-global-south-and-a-boost-to-the-global-economy/

Chicago

katie. Special Drawing Rights (SDRs): A Lifeline for the Global South and a Boost to the Global Economy. Institute for Economic Justice, 2024. https://iej.org.za/resource/policy-brief/special-drawing-rights-sdrs-a-lifeline-for-the-global-south-and-a-boost-to-the-global-economy/.

Wikipedia

{{cite report |last1=katie |title=Special Drawing Rights (SDRs): A Lifeline for the Global South and a Boost to the Global Economy |publisher=Institute for Economic Justice |date=15 August 2024 |url=https://iej.org.za/resource/policy-brief/special-drawing-rights-sdrs-a-lifeline-for-the-global-south-and-a-boost-to-the-global-economy/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{katie2024special, author = {katie}, title = {{Special Drawing Rights (SDRs): A Lifeline for the Global South and a Boost to the Global Economy}}, institution = {Institute for Economic Justice}, year = {2024}, month = aug, url = {https://iej.org.za/resource/policy-brief/special-drawing-rights-sdrs-a-lifeline-for-the-global-south-and-a-boost-to-the-global-economy/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }