Broadened approach to international currency position analysis

Abstract

The big changes in the economic and fi nancial world order took place in the fi rst decade of the XXI century. Aft er the 2008 crisis the competitiveness of the key reserve currencies started weakening more dramatically. Many experts predict the appearance of new international currencies in future. Th at is why the need in the new systems of indicators and methods of analysis of these changes increases. Th is article deals with one of possible approaches to currency internationalization analysis, which is based on three groups of indicators showing the economic conditions and fi nancial sector development of the issuing country as well as the competitiveness
of the currency itself on the international level. Th e article contains an example of application of the method. Two key reserve currencies (the US dollar, euro) and two corresponding issuing countries (the USA, the Eurozone) are analyzed.