Foreign exchange reserves are like a country’s financial savings. These include foreign money (like dollars or euros), gold and special international assets. In 2025, the world’s total foreign exchange reserves are about $12.3 trillion. These reserves help countries keep their country strong, pay international debts and handle economic problems.
What are Foreign Exchange Reserves?
Foreign exchange reserves are the money and assets held by a country’s central bank. These can include:
- Foreign currencies
- Gold
- Special Drawing Rights (SDRs) from the International Monetary Fund (IMFs)
Countries use these reserves to keep their currency stable, support trade and protect their economy during financial troubles.
Why are Forex Reserves Important?
- Help manage inflation
- Support the country’s currency
- Pay for inputs and international loans
- Deal with global market changes and emergencies
Total Foreign Exchange Reserves in 2025
In 2025, total foreign exchange reserves in the world are estimated at $12.3 trillion. This shows how important these reserves are for the global economy.
Country with the Highest Forex Reserves in 2025
China has the largest foreign exchange reserves in the world in 2025, totally $3.57 trillion. These huge reserves help China control its currency, the yuan (CNY), supports trade and stay strong in global markets. The People’s Bank of China mostly holds these reserves in US dollars, along with some euros, yen and gold.
Top-10 Countries with the Highest Foreign Exchange Reserves by 2025
China is the top country with more than $3.57 trillion, highest reserves in the world. Most of this is in US dollars, along with euros, yen and gold. China uses these reserves to support the yuan (CNY) and keep its trade strong.
Here is the list of top-10 countries with the highest foreign exchange reserves by 2025:
Rank | Country | Foreign Exchange Reserves (in USD million) |
1. | China | $3,571,803 million |
2. | Japan | $1,238,950 million |
3. | Switzerland | $952,687 million |
4. | India | $686,145 million |
5. | Russia | $620,800 million |
6. | Taiwan | $576,846 million |
7. | Saudi Arabia | $434,547 million |
8. | Hong Kong | $421,400 million |
9. | South Korea | $415,700 million |
10. | Brazil | $388,571 million |
India’s Position in Foreign Exchange Reserves
In 2025, India ranks fourth in the world with $686.1 billion in foreign exchange reserves. These reserves help support the Indian rupee (INR), control inflation and keep the economy strong during global changes. India’s strong reserve position shows its economic stability. Russia follows in fifth place with $620.8 billion, though reduced due to sanctions and political tensions.