The greenback accounted for 56.3% of allocated reserves between April and June, down 1.5 percentage points from the previous quarter and the smallest proportion since 1995, although the drop was largely due to currency moves rather than active selling by central banks, the report said.
The Dollar slid 9% against the euro, 11% versus the Swiss franc, and 6% against the pound sterling in the period, weighed down by US President Donald Trump’s tariff hikes, his pressure on the Federal Reserve to cut rates, and deficit-raising tax changes passed on July 04, according to the IMF.
Total allocated foreign exchange reserves stood at $12.03 trillion at the end of June.
In the first half of 2025, the Dollar fell more than 10% against major currencies, marking its worst start to a year since 1973. The recorded downturn contrasted with the Dollar’s traditional role as a safe-haven asset.
Russia has accelerated efforts to move away from the Dollar and euro after many of its financial institutions were cut off from the Western financial system in 2022.
The country has ramped up trade with international partners using their national currencies. The trend has been increasingly supported by BRICS members, which have shifted from using Western currencies for trade settlements.
Major BRICS economies have already started reducing reliance on the Dollar, as the weaponization of the greenback through sanctions has pushed businesses to look for alternative payment options.
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The out-of-sorts Premier League champions lost again on Sunday when Chelsea beat them 2-1.
The Blues made the breakthrough after 14 minutes as they fired a rising 20-yard drive past Liverpool keeper Giorgi Mamardashvili, deputising for the injured Alisson.
Cody Gakpo equalized after 62 minutes, when he reacted quickly in the six-yard area to beat the Blues goalie after Alexander Isak had touched on Dominik Szoboszlai's cross.
But the Reds were denied even a draw when a second-half substitute snatched victory in the 96th minute to inflict a third consecutive defeat on Liverpool.
I have to say it out loud. There were clearly too many changes over the summer and to compound that, there are very few performing to the standard required. Even hotshot Mohamed Salah turned invisible. As if that is not enough, Arne Slot ripped up the tactical blueprint which won Liverpool the title in the first place.
And yet, the head coach was in defiant mood in the aftermath of this latest disappointment, going through his full range of brave faces while accentuating the positive in the face of evidence to the contrary.
The reigning Premier League champions have now dropped to second in the table, behind new leaders Arsenal who beat West Ham 2-0 yesterday.
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