Core Principle

GIC currency weights are not subjective decisions. They are derived from normalized global economic indicators published by internationally recognized institutions.

Weights are calculated, not chosen.

Why a Global Currency Index?

The global monetary system is fragmented. GIC introduces a neutral mathematical reference based on all national currencies.

Historical Comparison Only

GIC = Σ Exchange Rates ÷ N

This expression is retained only as a historical comparison. It is not used to calculate or publish the current GIC value.

Proposed Weighted Model

GIC = Σ (Rateᵢ × Weightᵢ)

This weighted basket is the single calculation model used by the dashboard and pitch deck. It remains labelled proposed until its sources and effective date are published and independently auditable.

Global Indicators Used

Indicator Description Reference Institution
GDP Share of global economic output World Bank
TRADE International trade volume WTO
FXR Foreign exchange reserves IMF
FIN Financial system stability and liquidity BIS / IMF

Indicator Importance (Meta-Weights)

Indicator Weight Rationale
GDP 40% Represents real economic size
TRADE 25% Reflects global commercial relevance
FXR 20% Measures global monetary trust
FIN 15% Captures financial resilience

Weight Calculation Formula

Weightᵢ =
(GDPᵢ × 0.40)
+ (TRADEᵢ × 0.25)
+ (FXRᵢ × 0.20)
+ (FINᵢ × 0.15)
    

All calculated values are normalized so that the total weight of all currencies equals 100%.

Current GIC Currency Weights

Currency Weight Justification Summary
USD 30% Global reserve dominance and liquidity
EUR 20% Strong economic and trade bloc
CNY 15% Major global production and trade role
JPY 10% Safe-haven and financial stability
GBP 8% Global financial hub influence
Others 17% Aggregated global average

Why Weights Matter

Weighting reflects economic size, trade, monetary influence, and financial stability.