Asian Clearing Union (ACU).

ACU means Asian Clearing Union. It was established at the initiative of United Nations ‘Economic and Social Commission for Asia and the Pacific (ESCAP). ACU was formed on 09.12.1974. The Draft agreement, establishing the ACU, was finalized at a meeting at Bangkok in 1973 with the senior Gov’t Officials and Officials of Central Banks. The ACU started its function/operation in November, 1975. ACU is the simplest form of payments arrangement whereby the members settle payments for inter regional transactions among the participating Central Banks on a multilateral basis. 

The name of the ACU currency is Asian Monetary Unit (AMU). The value of one AMU is equivalent to one US dollar.

The head quarter of Asian Clearing Union situated at Tehran, Iran.

There are 08 (seven) member countries setting their respective import & export payments through ACU currencies:
(i) India, 
(ii) Iran, 
(iii) Mayanmar (Burma), 
(iv) Sri Lanka, 
(v) Nepal, 
(vi) Pakistan, 
(vii) Bangladesh and 
(viii) Bhutan.

Objectives & functions of ACU:
(i) To settle the import & export payment claim of member countries easily.
(ii) Not to use the currency of other countries except the currency of member countries. 
(iii) To expand the use of currency among the member countries of ACU.
(iv) To establish financial cooperation among the regional countries.
(v) Providing short term credit facilities by the system to the debtor participants for a period of two calendar months.

 

1 comment:

  1. Great post!!Thanks for sharing it with us....really needed.Find your Bank Important Things To Remember About Personalized Bank Checks With Pictures. When you decide to open a personal checking account, you will get the opportunity to pay using bank or personal checks.
    Reorder checks online

    ReplyDelete