Global currency reserves decline

The decade-long surge in foreign currency reserves held by the world’s central banks is coming to an end.

Global reserves declined to $11.6trn (€10.52trn) in March from a record $12.03trn last August, halting a five-fold increase that began in 2004, according to data compiled by Bloomberg.

While the drop may be overstated because the strengthening dollar reduced the value of other reserve currencies such as the euro, it still underlines a shift after central banks added an average $824bn to reserves each year over the past decade.