On March 3, Emma Ashford was quoted in Fortune on government reserves of foreign currency.
“Foreign reserves are a government’s holdings of gold, foreign debt, and foreign currency, which is usually denominated in the world’s most popular coins—dollars, euros, pounds, yen, and yuan. Although a country can hold foreign reserves in its own banks, governments often choose to keep their reserves overseas to avoid costly cross-border transactions and gain direct access to foreign currency and debt markets.
“‘Large stockpiles of foreign reserves just are very useful for helping to insulate yourself from global economic shocks,’ Emma Ashford…told Marketplace.”
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