Official foreign exchange reserves will soon reach US 2 trillion.

Even if an SDR Substitution Account is established, it is unlikely that the dollar s share in international reserves would fall to an insignificant level.

Reserves

China s purchases of American debt effectively transferred the official reserves gained via China s trade surplus back to the US market.

(l) Other reserves

(j) Operating reserves

The build up of official reserves in East Asia and other developing countries will provide them with extra means to deal with possible external shocks.

Covering this drop in reserves more than half of gas reserves and a fifth of oil reserves have been consumed with imports implies an annual cost of more than 300 billion.

Africa s natural gas reserves amount to about 8 of global reserves.

Table 6 Comparison of reserves and staff liabilities

Other reserves comprise the following

(g) Transfers to reserves

Much of China s official foreign reserves have accumulated because the PBC seeks to control the renminbi s exchange rate, keeping its upward movement within a reasonable range and at a measured pace.

The activities on all reserves are shown as follows

So, within a few years, many countries concluded that their pegs could work fine if supported by large enough war chests of official reserves.

Africa is estimated to hold more than 10 of global oil reserves and one third of reserves of cobalt and base metals.

a Including earmarked reserves, the total reserves are 70 million for 2002, 93 million for 2003 and 68 million for 2004.

Meanwhile, the fraction of international reserves held in euros grew from 18 to 24 , and the dollar s share dropped from 71 to 66 .

a Including earmarked reserves, the total reserves are 70 million for 2002, 93 million for 2003 and 68 million for 2004.

It has 10 of global oil reserves.

Total reserves of titanium are estimated to exceed 600 million tonnes.

China s official foreign reserves are increasing at a rate of about 1 billion per business day, almost all of which is used to buy US Treasury bonds and other international assets that carry a minimal rate of return.

(b) Key Policy Work Account Work programme account

The idea was to permit countries whose official dollar holdings were larger than they were comfortable with to convert dollars into SDRs.

In 2008, the last year for which figures are available, Japan held 23.4 of the world s reserves and China held 44.8 .

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First, unlike in some other countries, Chinese commercial banks are paid reasonable interest rates on required reserves, except for the extra reserves that they hold.

The obvious candidate for this reserve fund was US Treasury bills.

Selling 2 trillion of reserves will take years.

At the time of the announcement, the country had 5.65 billion in cash reserves.

(b) Development Account

Special account

Demand savings accounts

Term savings accounts

Run down the financial reserves and wealth that were accumulated when the economy was doing better.

Today, currencies other than the dollar account for 40 of identified international reserves.

The problem is not a lack of reserves, but Gazprom s investment strategy.

The first is to weaken China s incentive to accumulate reserves.

But almost all of the reserves sit idle on commercial banks balance sheets.

In normal times, there are valid reasons for paying interest on excess reserves.