Capital is flowing out of the country, and official reserves are slowly being depleted.

Capital is flowing out of the country, and official reserves are slowly being depleted.

And, to address volatile capital flows, countries should increase exchange rate flexibility, maintain adequate international reserves, and implement carefully designed capital controls.

It not only has considerable dollar reserves, but has also become the manufacturing capital of the world.

Artificially low exchange rates, restrictions on capital flows, and excessively large currency reserves all create global imbalances.

Africa s natural gas reserves amount to about 8 of global reserves.

Would this justify exempting these firms from existing regulations that constrain their decisions with respect to lending, investment, or capital reserves?

Moreover, the reserves built up over the preceding decade were, in many cases, used to offset some of the capital outflows.

Call In the Reserves

Many countries do not have foreign currency reserves sufficient to meet sudden and large outflows of capital without destabilizing their domestic economy.

A country with current account and capital account surpluses and increasing foreign exchange reserves normally sees an excessive money supply and high inflation.

Reserves are like savings accounts.

Many countries continue to accumulate high levels of precautionary reserves, especially to avoid future crises stemming from reversals on their capital and trade accounts.

The key is to reflect on six kinds of capital goods business capital, infrastructure, human capital, intellectual capital, natural capital, and social capital.

Certainly, oil reserves are not infinite.

Potential borrowers have been accumulating massive reserves and pooling them regionally to protect themselves against shocks and speculative capital, but not at the Fund s urging.

To minimize that risk, the Troika reserves currently devoted to the Greek bailout should be used to limit exchange rate overshooting capital controls would help, too.

Commercial banks could hold them without setting aside any capital reserves, and the European Central Bank (ECB) accepted them on equal terms at its discount window.

Second, countries with large accumulations of dollar reserves will be shifting substantial fractions of those reserves into euros.

Instead, China s reserves mostly underwrite America s debt.

It has 10 of global oil reserves.

With risk assets long term valuation falling and pressure to prick price bubbles rising, China s capital reserves will be insufficient to refinance the developed countries debts cheaply.

Covering this drop in reserves more than half of gas reserves and a fifth of oil reserves have been consumed with imports implies an annual cost of more than 300 billion.

A wide range of official measures could be employed to support domestic demand while protecting medium term fiscal sustainability. And, to address volatile capital flows, countries should increase exchange rate flexibility, maintain adequate international reserves, and implement carefully designed capital controls.

We have rich reserves of gas and coal.

For Global Growth and Stability, Mobilize the Reserves

Selling 2 trillion of reserves will take years.

Foreign exchange reserves are an immense 1.9 trillion.

Yes, China does pile up reserves in dollars.

Money put into reserves is income not spent.

The country has significant reserves of natural gas.

We'll have to fall back on our reserves.

Capital Shrugged

Damming Capital

Capital flight

At the same time, if the world s most powerful countries stopped promoting full capital account liberalization, developing countries would feel less pressure to protect themselves by accumulating foreign exchange reserves.

Emerging economies many of which use large trade surpluses to drive GDP growth and supplement their foreign exchange reserves with the resulting capital inflows are leading buyers of US debt.

Consequently, these reserves provided the fuel for economic populism.

Today s big surplus countries do not need large reserves.

OPEC calculates member countries' quotas based on proven reserves.

Most developing countries have accumulated massive foreign currency reserves.

Despite all this, massive excess bank reserves remain unlent.

The parliament reserves the power to make all laws.

Potential borrowers have been accumulating massive reserves and pooling them regionally to protect themselves against shocks and speculative capital, but not at the Fund s urging. On the contrary, accumulating reserves beyond a certain threshold carries a high opportunity cost and suggests the need to let the currency appreciate.

Capitals of Capital