General Agreement to Borrow

Updated: Aug 20, 2021

An agreement made in 1962 by the Group of Ten countries to extend international credit. The agreement is a misnomer, as the countries actually agreed to lend via the International Monetary Fund (IMF) to enable each other to borrow extra reserves if this was necessary to defend their currencies. The agreement was later extended to other members of the IMF.

Reference: Oxford Press Dictonary of Economics, 5th edt.

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James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.