As a result, all the developing countries have their foreign exchange reserves in dollar-denominated assets.
They have limited foreign exchange reserves, and they all face major impediments to growth.
And please note: Foreign exchange reserves cannot, as a practical matter, be used to create domestic-currency growth.
But ultimately the costs, in terms of increasing foreign exchange reserves and rising inflation, may force its hand.
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So China's huge accumulation of foreign exchange reserves is stuttering to a halt.
That would be a good reason to diversify its foreign exchange reserves.
The government will also study using foreign exchange reserves to prepay debt.
Achieving that sum likely will depend on getting agreement from countries that hold large foreign exchange reserves, such as China and Saudi Arabia.
Typically, governments hold cash reserves in their central bank as foreign exchange reserves for the purpose of stabilizing currency and management of liquidity.
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Growth, inflation, the balance of payments and foreign exchange reserves are all expected to show the effects of lost businesses and reconstruction costs.
Asian banks had a huge build-up in foreign exchange reserves over the past couple of years and the reserves supplies had remained fairly constant.
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China has more money sitting in its foreign exchange reserves than countries like France, Germany, U.K. and Brazil produced last year from its entire economy.
"The diversion of perhaps tens of millions of dollars or euros in cash would certainly assist Assad's government as its foreign exchange reserves dwindle, " says Kamel.
The government is also due to send a delegation to Moscow this week to negotiate the terms of a loan that it hopes with bolster its depleted foreign exchange reserves.
Further confirmation that the U.S. dollar is gradually losing its reserve status came today from an International Monetary Fund report on global holdings of foreign exchange reserves by central banks.
FORBES: Dollar's Share Of Global Reserves Continues To Slide, Reserve Status Questioned
Foreign exchange reserves may become strained as "Sri Lanka will be hard pressed to keep international reserves at the pre-tsunami level" which totalled more than two months worth of imports.
Gross domestic product, foreign exchange reserves, current account surpluses - big numbers are thrown around daily as Asia tries to measure how bad the Crisis is and whether it is bottoming out.
The SNB has stopped having to buy up foreign currencies with new swiss franc, which it did in earnest to prove its commitment in 2011, increasing its foreign exchange reserves by 177 billion from July to September.
This was true internationally, as central banks of developing countries parked their growing foreign exchange reserves in the US, so that the South provided net finance to the North, instead of using such resources for its own development.
The stated debt is deceiving because in real terms Japan only owes the equivalent of 100% of GDP--Japan has Y1, 000, 000 billion in foreign exchange reserves and owns part of its debt, it doesn't offset debt for reporting purposes.
We also saw the largest amount of money pulled from emerging markets since the fourth quarter of 2008, according to UBS. For the first time in several months, the monthly change in foreign exchange reserves declined double digits.
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With inflation under much better control, floating exchange rates (China is a big exception) and well-stocked foreign-exchange reserves now dominate in the emerging world, providing protection against falling exports and flighty foreign investors.
Its foreign-exchange reserves are now four times as large as its short-term foreign debt, and it has a current-account surplus.
The published figures for the breakdown of reserves by currency omit China, even though the country accounts for a fifth of foreign-exchange reserves.
Most have abandoned their old exchange-rate pegs, are running large current-account surpluses, and have built up ample foreign-exchange reserves.
Its point was to pool members' foreign-exchange reserves to help crisis-hit countries suffering liquidity crunches.
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As emerging-market nations increase foreign-exchange reserves, the percentage from existing gold holdings gets smaller.
The buying is coming from emerging-market nations that are accumulating foreign-exchange reserves, Dempster reported.
FORBES: Central Banks Continue Buying Gold To Diversify Portfolios
Rising foreign-exchange reserves boost the money supply, causing higher inflation and excessive bank lending.
The government has enough foreign-exchange reserves, and there is no sign yet of capital flight.
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