The International Monetary Fund (IMF) has indicated that it might consider giving Australian dollar the status of being a reserve currency, in an effort to boost its value.

Experts have said that the Australian economy can no longer be classified as an emerging economy as it has developed to a level that its currency can be given the status of a reserve currency, much like the US dollar, the yen, the pound, the Swiss franc and the euro. The central banks would aim at acquiring the Australian dollar to build up their reserves and this might help in boosting the value of the currency.

On the other hand, the reserve Bank of Australia has hinted that it is taking steps to reduce the value of the currency as it remains higher. The country's central bank noted that a cut in cash rate has helped control the currency, which was high against other currencies. It said that the surprise cash rate cut in May to 2.75 per cent might have resulted in the fall of the exchange rate but added that it still remains high compared to the fall in export prices during the previous year.

"It was possible that the exchange rate would depreciate further over time as the terms of trade declined, which would help to foster a rebalancing of the economy," the central bank said after the meeting.

The Australian national currency started declining in the previous month when the budget was announced and has since eased 8 per cent but experts say that the dollar still remains high.