Part V Public International Law of Money, 20 The Protection of Foreign Currency Systems

Subject(s):

Foreign currency systems and institutions — Monetary obligations — Regulators

This chapter addresses the obligation of the State to protect and defend the monetary systems of other States. A State’s duty to protect the monetary systems of other States may arise from treaties or even from an informal network of arrangements. As has been seen, certain aspects of an exchange control system are entitled to a degree of protection by other States by virtue of Article VIII of the Articles of Agreement of the International Monetary Fund, and other duties of protection may arise under bilateral treaties. However, apart from treaties, it would at present not be possible to maintain that customary international law imposes upon a State any general duty of affording protection to the monetary systems of other States. The chapter then looks at the prevention of counterfeiting and the duties of a belligerent occupant and the legitimate government.