Question

gold trench and credit trench difference​

Answer 1

Answer:

Reserve tranche is the component of a member country's quota with the IMF that is in the form of gold or foreign currency. Hence this is called as reserve tranche or gold tranche. ... The remaining 75% can be in domestic currencies and it is called credit tranche.

Explanation:

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Answer 2

NANBA..

Amount of gold that each member country of the International Monetary fund (IMF) contributes as part of its membership obligations to the fund, and can readily borrow when facing economic difficulties.Credit tranche refers to a system of releasing loan funds in phases that the International Monetary Fund (IMF) uses to govern its lending activities with member countries. When a member nation applies for a loan to help with economic difficulties, the IMF will disburse the loan in a series of credit tranches.