Forex pile remains Asia’s first defence against relentless US dollar

Policymakers in the region have more than US$5.5 trillion of foreign exchange reserves that they can deploy to shore up their currencies, according to calculations by TD Securities. — Bloomberg

SINGAPORE: The US dollar’s recent rally has been relentless. But Asia’s central banks have the firepower to limit the fallout.

Policymakers in the region have more than US$5.5 trillion of foreign exchange (forex) reserves that they can deploy to shore up their currencies, according to calculations by TD Securities using data compiled by Bloomberg. The stockpile reached a record high of US$5.9 trillion in 2021.