Full Breakdown
Global Shifts in Foreign Exchange Reserves – August 2026 Snapshot
9/8/2026, 12:06:21 AM
Core Reserve Movements in August 2026
- China – The State Administration of Foreign Exchange reported reserves at US $3.4383 trillion, up US $19.5 billion (0.57 %) from July, driven by exchange-rate conversion and asset-price changes.
- Azerbaijan – The Central Bank said reserves rose US $3.8 billion (33 %) to US $15.3 billion after buying US $1.5 billion of foreign currency in August.
- Japan – The Ministry of Finance announced reserves fell to US $1.2075 trillion (? 188 trn yen), a decline of US $79.5 billion (6.2 %) following market interventions.
- Qatar – The Qatar Central Bank reported total reserves grew 0.75 % YoY to QAR 262.240 bn, with official reserves up 9.7 % to QAR 220.515 bn and gold holdings rising to QAR 60.087 bn.
- India – The RBI said reserves jumped US $11.47 billion in the week ended 28 Aug 2026, reaching a record US $740.80 billion; FCA rose to US $600.67 billion and gold to US $116.409 billion.
Background Factors Influencing the Changes
- Azerbaijan – De-dollarisation and a current-account surplus created excess foreign-currency supply, prompting purchases.
- Japan – Interventions totalling 15.3993 trn yen (30 Jul–26 Aug) aimed to defend the yen.
- India – The RBI’s FCNR(B) swap facility, launched in June, attracted US $136 billion of inflows through August.
- China – A stable macro environment and modest asset-price gains supported the reserve increase.
- Qatar – A diversified reserve mix, including gold and SDRs, underpinned growth despite lower foreign-bond holdings.
Data Summary
| Country | Reserve Level (Aug 2026) | Change | Key Drivers |
|---|---|---|---|
| China | US $3.4383 trn | +US $19.5 bn (+0.57 %) | Exchange-rate conversion, asset-price shifts |
| Azerbaijan | US $15.3 bn | +US $3.8 bn (+33 %) | Surplus, de-dollarisation, purchases |
| Japan | US $1.2075 trn | –US $79.5 bn (-6.2 %) | Yen-support interventions |
| Qatar | QAR 262.240 bn (total) / QAR 220.515 bn (official) | +0.75 % / +9.7 % | Gold, bank balances, SDRs |
| India | US $740.80 bn | +US $11.47 bn (record) | FCA growth, gold, FCNR(B) inflows |
Official Statements & Responses
- The State Administration of Foreign Exchange linked China’s rise to “exchange-rate conversion and asset-price changes.”
- Finance Minister Satsuki Katayama referenced the U.S. Fed’s potential use of the “FIMA Repo Organization” to supply dollars.
Conflicting Reports & Gaps
- Japan’s ministry did not disclose which securities were sold to fund yen-support operations, leaving the reserve drawdown composition unclear.
- No alternative figures were provided for the other economies, so no direct contradictions appear.
What’s Next
- The RBI is likely to keep the FCNR(B) facility active while market conditions permit.
- Qatar’s central bank has made no new policy announcements; the recent gold and bank-balance gains suggest continued diversification.
Overall, August 2026 showed divergent reserve trajectories: modest growth in China, sharp rises in Azerbaijan and India, a notable dip in Japan, and steady expansion in Qatar, each reflecting distinct policy responses to domestic and global financial conditions.
