In today’s unpredictable global economy, foreign exchange and gold reserves are vital tools for financial stability. These reserves help countries safeguard their economies from currency shocks, maintain investor confidence, and respond effectively to global market disruptions. As economic volatility grows in 2025, the nations with the largest reserves are better positioned to defend their currencies, finance imports, and sustain economic credibility.
This article explores the top 10 countries with the highest combined foreign exchange and gold reserves in the world, shedding light on their reserve strategies, economic resilience, and global influence.
1. China
Total Reserves: Over $3.3 trillion
Composition: Mostly foreign currency; growing gold stockpile
China maintains its position as the world’s largest holder of foreign reserves, driven by decades of trade surpluses and aggressive export policies. The bulk of its holdings remain in foreign exchange assets, particularly U.S. Treasuries, but China has steadily increased its gold reserves to reduce dependence on the dollar. This diversification reflects a long-term strategy to shield the yuan from global monetary instability.
2. Japan
Total Reserves: Over $1.2 trillion
Composition: Primarily U.S. dollar assets; low gold exposure
Japan’s massive reserves are rooted in its strong export industries and conservative monetary approach. The country holds the majority of its reserves in foreign currencies to stabilize the yen, with only a small portion allocated to gold. Despite rising inflation concerns globally, Japan continues to prioritize liquidity and security in its reserve composition.
3. Switzerland
Total Reserves: Over $900 billion
Composition: Strong in gold and diversified foreign currencies
Known for its stable economy and neutral stance, Switzerland holds one of the highest gold reserves relative to its economic size. The Swiss National Bank actively manages reserves to maintain the value of the Swiss franc, which is widely regarded as a global safe haven. Its large gold holdings enhance its financial resilience and global trust.
4. India
Total Reserves: Over $670 billion
Composition: Balanced between foreign currencies and gold
India has significantly strengthened its reserve position in recent years, thanks to booming exports, remittances, and capital inflows. The Reserve Bank of India has diversified its portfolio with increasing gold acquisitions, aiming to reduce currency risk and ensure long-term economic security. India’s reserves now act as a cushion against global oil price shocks and currency volatility.
5. Russia
Total Reserves: Over $600 billion
Composition: Heavy in gold and Chinese yuan; reduced dollar exposure
In response to geopolitical sanctions, Russia has pivoted its reserve composition dramatically. The country has offloaded most of its U.S. dollar assets, replacing them with gold and yuan. Gold now plays a central role in Russia’s reserve management, offering both political autonomy and economic insulation from Western financial systems.
6. Saudi Arabia
Total Reserves: Around $500 billion
Composition: Predominantly foreign exchange; modest gold holdings
As the world’s largest oil exporter, Saudi Arabia builds its reserves primarily through energy revenues. Its dollar-denominated assets support the country’s currency peg and fiscal stability. While gold remains a small part of the portfolio, its role is gradually growing amid efforts to modernize the economy under the Vision 2030 transformation plan.
7. Taiwan
Total Reserves: Over $460 billion
Composition: Largely in foreign currencies; minimal gold
Taiwan’s robust tech-driven exports, especially semiconductors, have created large trade surpluses that fuel reserve accumulation. The central bank uses these reserves to manage currency volatility and maintain a competitive exchange rate. Although gold holds a minimal share, Taiwan’s reserve adequacy remains strong.
8. Hong Kong (SAR)
Total Reserves: Around $440 billion
Composition: Mostly foreign exchange to support currency peg
Despite being a Special Administrative Region of China, Hong Kong operates its own monetary system. Its reserves back the Hong Kong dollar’s fixed exchange rate to the U.S. dollar. The Hong Kong Monetary Authority actively intervenes in markets using its substantial forex reserves, while gold plays an insignificant role in the mix.
9. South Korea
Total Reserves: Over $420 billion
Composition: Primarily foreign exchange; small gold component
South Korea relies on its large reserves to protect its economy from external shocks and ensure stability for its export-heavy industries. While gold is not a major component, the country is evaluating ways to diversify its holdings. The Bank of Korea’s reserve management emphasizes liquidity and quick deployability in times of stress.
10. Brazil
Total Reserves: Around $350 billion
Composition: Mostly foreign currency assets; moderate gold reserves
As Latin America’s largest economy, Brazil maintains sizable reserves to defend its currency against volatility and inflation. The central bank holds a mix of U.S. dollar assets and moderate gold reserves, which serve as both a buffer against economic shocks and a signal of financial stability to global markets.
Why These Reserves Matter
Holding significant foreign exchange and gold reserves allows countries to safeguard their economies during periods of crisis or instability. These reserves can be used to:
- Stabilize local currency during periods of high volatility
- Pay for imports and external debt in hard currency
- Boost investor confidence and credit ratings
- Hedge against inflation and geopolitical risks
- Support monetary and fiscal policy interventions when needed
In a world of rising uncertainty, reserves offer nations not only economic flexibility but also geopolitical leverage.
Shifting Global Trends in Reserve Strategy
The composition of reserves is changing. A global trend toward de-dollarization is underway, with countries like China, Russia, and India increasing their gold holdings and turning to alternative currencies. Gold, once seen as outdated, is now viewed as a powerful hedge against inflation and sanctions. Meanwhile, nations with high exposure to the U.S. dollar are diversifying cautiously to protect long-term stability.
These evolving strategies reveal how global economic power is shifting. The traditional reliance on Western currencies is giving way to a multipolar approach in reserve management, with gold playing a renewed central role.
The countries topping the list of foreign exchange and gold reserves in 2025 reflect a mix of economic scale, export strength, and strategic foresight. While China and Japan dominate due to their trade surpluses, nations like Russia and India highlight the growing importance of gold as a counterbalance to geopolitical risk. Whether for cushioning against global shocks, stabilizing national currencies, or preparing for future financial uncertainty, reserves remain a cornerstone of national economic power.
As global tensions rise and financial risks intensify, these reserves are more than numbers—they are shields, strategies, and statements of national strength.
