International ambitions

An international currency can be defined as one that can be used beyond the borders of the issuing country and can perform the basic functions as a medium of exchange, unit of account, and store of value. It brings a number of advantages for the issuing country. Its residents, for instance, can trade with non-residents in the domestic currency, which not only reduces transaction costs but also eliminates exchange-rate risks. Further, it cuts the cost of financing because funds can be raised without taking currency risks from a wider range of international investors who are willing to hold assets denominated