The international monetary system

International monetary system – it is a set of specific legislative acts and regulations governing the work on the foreign exchange markets Central banks, providing emission of money. Task guidelines underlying their activities is the facilitating of external trade to the extent that all parties to the transaction had the maximum benefit. The efficiency of world trade should contribute to the prosperity of involved economic systems.

International monetary system was composed historically by the organization of monetary relations between countries. Its basic principles are enshrined in the agreements at the international levels. The emergence and further evolution of international currency system indicates the objective function development of international capital, which requires certain conditions in the global monetary sphere.

Economic ties between different countries without a clear system of financial relations is impossible. They are understood economic calculations, which are directly related to the functioning of the world currency. Economic relations between States are very diverse. These include international trade, tourism, exchange of scientific discoveries, migration of capital, offer loans, etc.

International monetary system, performing the function of world money funds that serve as a criterion of the value of the goods is a means of accumulation, payment and treatment. The main task it performs is the mediation of international payments.

International monetary system is a part of a number of its structural components. The main ones are:

- the agreement between the two countries;

- foreign exchange-financial intergovernmental organizations;

- money world product;

- currency exchange rates;

- international liquidity.

The international monetary and financial system includes various funds and organizations. These structures combine a variety of States, national societies and institutions established to achieve common goals related to politics, economy, social sphere, culture, science, etc.

The organization of an international type form of own funds, the purpose of which – a multidimensional coordinating the actions of all participating countries. This process is made possible after the signing of the agreements, which are aimed at the maintenance of the unified financial, monetary and credit policy of the States parties. Such international organizations include the following: IIB, IBEC, IBRD, IMF, UN and all its institutions, IAEA, WFNR etc.

The World's money commodity may be accepted for settlement in any state as a means of offsetting exported from the country of wealth. He maintains international relationships. Initially, as international means of payment used gold. Over time he was replaced by a currency of the leading countries in the world. Currently, a proliferation of fiduciary or composition money (SDR, ECU). Their use is based on a fiduciary relationship to the Issuer.

Currency is not related to any new kind of money. This is a special method of their operation. National funds that serve the credit and mediation of international relations will automatically become currency. Its value is determined in relation to the currency of another country. The magnitude of the exchange rate affects certain factors. These include:

- the solvency of the state;

- supply and demand in the currency market;

- balance of payments;

- inflation.