US DOLLAR: THE WORLD’S MAJOR RESERVE CURRENCY

A global currency is the one that is readily accepted worldwide for trade. Any currency can be held as a reserve currency, nobody declared that the country needs to hold its reserves in Dollars. There is no provision for the foreign exchange that has to be done in US Dollars (USD), it is merely the decision of an individual country.

Back in 1913, when the Federal Reserve bank has created, countries followed a gold standard. With the ....