Governments Are Ditching Dollar And Euro Reserves For Other Currencies

Euro Toilet Paper

Latest IMF data, which encompasses 2/3 of global foreign exchange reserves, shows that both the euro and dollar became a smaller proportion of global currency reserves in the first quarter of 2010 according to Reuters.

The dollar’s share fell to 61.54% from 62.17% in the fourth quarter of 2009. The euro’s share dropped to 27.19% from 27.30% at the end of 2009.  On a longer-term basis, the euro still remains a higher share of reserve assets than before. In 1999 it only accounted for 18.1% of assets.

The yen and other currencies gained share this year, with the yen now comprising 3.14% of reserve assets and other miscellaneous currencies accounting for 3.7%.

The British pound’s global share held steady in the first quarter, at 4.3%.

You can find the IMF report here.

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