2 min read
0 comments
The difference lies in the composition of international reserves and the fact that the US issues its own currency, while countries like Brazil need to buy it to protect themselves.
Two weeks ago, during an event, the President Lula stated that Brazil is protected from Donald Trump's "tariff hike" due to its international reserves. A survey by the World Bank reinforces the president's statement: Brazil is among the ten countries with the largest dollar reserves in the world.
According to the report, Brazil ranks ninth, with approximately US$346,4 billion. This number is higher than that of the United States, which ranks 11th, with US$234,1 billion. The information was released by the newspaper Valor.
List of largest holders
The ranking is led by China, with US$3,3 trillion. Next comes Japan, with US$1,2 trillion, and Switzerland, with US$794,9 billion. India, Russia, Saudi Arabia, Hong Kong and South Korea are also ahead of Brazil.
- PSOL takes action against Anatel against Elon Musk's Starlink expansion: Party alleges risks to sovereignty, data and competition
- Operation reveals INSS fraud of R$6,3 billion in discounts: Were you a victim? See how to check your statement, block charges and get your money back
- With R$100 million in investments, the City of Tubarão (SC) launches a program with works in daycare centers, schools, streets and health centers
- Caixa's worker credit offers up to R$3 with low rates in 2025, find out how to apply and the requirements to take advantage!
Brazil, even behind larger economies, remains well positioned. Right after it comes Singapore, with US$ 344,5 billion.
What are international reserves for?
According to the Central Bank (BC), international reserves are assets that the country holds in foreign currencies. Most are in dollars, but there are other types of currencies. They function as a type of insurance, ensuring that the country can honor commitments abroad.
This resource also serves to reduce the impact of crises, such as exchange rate or tariff crises. According to the Central Bank, in the floating exchange rate model adopted by Brazil, these reserves help to stabilize the market.
This prevents sudden changes in the real against the dollar and provides greater security for those involved in the economy. This stability is considered essential to maintain confidence in the country.
With information from Valor Econômico.
