Asia’s huge reserves pose risk to growth, says ADB

SINGAPORE: Fixed exchange rates for the yuan and other Asian currencies and soaring foreign reserves in the region may spark a financial crisis such as the one in 1997–98 that brought recessions to six of the top 10 Asian economies, the Asian Development Bank said. 

Asia's foreign reserves outside Japan rose 18% to US$1.3 trillion last year as the region's central banks bought US dollars to protect export-driven economic growth, the bank estimated in its annual Asian Development Outlook.