China’s Rising Forex Reserves Signal Global Economic Resilience in 2025

China has shown its strong economic resilience, especially in foreign exchange reserves. According to data from Chinese state media on Tuesday, October 7, 2025, the country’s foreign exchange reserves increased slightly by the end of September 2025, reaching $3.338 trillion. This amount was $3.3174 trillion at the end of June 2025.

This modest rise mostly came from changes in global asset prices and shifts in exchange rates. Economists see this growth as a good sign for China, especially given the ongoing trade tensions with the United States and other global economic challenges.

China’s foreign exchange holdings are far larger than those of any other nation. Even if you combined the reserves of all European countries, it still would not match China’s total. As of July 31, 2025, Switzerland had the largest foreign reserves in Europe, totaling $897.3 billion.

On a global scale, Japan ranks second, with reserves of $1.23 trillion as of August 31, 2025. Other major reserve holders include Russia with $434.49 billion, Taiwan with $544.3 billion, and Saudi Arabia with $434.12 billion as of November 2024, not counting gold holdings.

In South Asia, India remains strong despite occasional pressures. Data from the Reserve Bank of India shows that as of September 26, 2025, the country’s reserves stood at $700.23 billion, up from $585.89 billion on October 13, 2024.

Among other SAARC nations, the State Bank of Pakistan reported reserves of $14.4 billion as of September 26, 2025. The Bangladesh Bank recorded $31.166 billion at the end of August 2025, while Sri Lanka’s reserves reached $6.147 billion, a significant increase from $1.896 billion in December 2022.

As of late 2024 and 2025 data, Afghanistan had $443 million, Nepal had $20.03 billion, Bhutan maintained about $1.11 billion, and the Maldives had $810.05 million in foreign exchange reserves, although this information may be slightly more or less accurate.

In conclusion, China’s vast foreign exchange reserves confirm its status as a leading global economic power. However, the rapidly changing global financial situation shows the need for careful reserve management, especially for developing and low-income countries. Therefore, maintaining economic stability and ensuring financial security should be their main focus, as declining reserves can create serious economic vulnerability during crises.

Sources: Wikipedia, Xinhua, CMG Bangla, Trading Economics, State Bank of Pakistan, Bangladesh Bank, Reserve Bank of India.

Author:

Sherazur Rahman, Teacher and Writer, Singra, Natore, Bangladesh sherazbd@gmail.com

Author’s Note:

This article was written by Sherazur Rahman. AI tools were used only to refine language and ensure factual accuracy. All opinions and analyses are solely those of the author.