Central banks all over the world are loading up on euros, yuans, and yens while getting rid of their dollar reserves. The IMF's report for the 4th quarter of 2018 confirms that. They say this has to do with the redistribution of currency reserves in the Russian Federation.
By the way, for those of you who don't know, international central banks reveal the information about their reserves through the IMF's COFER. It's interesting to note that over the reporting period, the global currency reserves increased by 20 billion dollars up to 10,73 trillion dollars. At the same time the dollar's share in the global currency reserves dropped by 0,25% down to 61,7%, which is the lowest point since 2013. At the same time, the share of yens, yuans, and euros together increased by 0,5%.
Russia Quits Dollar Assets
Having estimated the situation, Goldman Sachs experts indicate the de-dollarization of Russian money flows. It's due to them that yuan reserves increased a lot last year. In particular, international central banks increased their yuan reserves by 10,4 billion dollars up to 203 billion dollars, which increased the yuan share form 1,8% up to 1,89% in 2018. So, Russia seems to be gradually reducing its exposure to the American currency.
