Distinguishing global dollar reserves from official holdings in the United States

BIS Quarterly Review  | 
05 September 2005
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 |  16 pages

Official holdings of US dollar reserves are partly invested outside the United States. These offshore investments do not strictly speaking finance the US current account, but do support the US dollar. Offshore holdings grow fast when intervention is large.

JEL classification: E580, F210, F310, F320, F330, F340, G150, N200.