China ranks first among the largest countries holding foreign exchange reserves with reserves of $3.4 trillion, followed by Japan and Switzerland, but the strange thing is that the United States is not among the top ten countries, despite the dollar being the most dominant global reserve currency.

Foreign exchange reserves refer literally to deposits and bonds in foreign currency only which are held by central banks and monetary authorities. However, the term commonly includes foreign currencies, gold, and Special Drawing Rights (SDRs) held at the International Monetary Fund.

Saudi Arabia is also among the largest countries possessing foreign exchange reserves in its central bank, exceeding $400 billion, ranking ninth globally.

The United States comes in thirteenth place on the list with foreign exchange reserves of $242 billion.

Here is the ranking of the largest countries holding foreign exchange reserves:

China - $3.4 trillion

Japan - $1.25 trillion

Switzerland - $912 billion

India - $596 billion

Russia - $587 billion

Taiwan - $561 billion

Hong Kong - $430 billion

South Korea - $423 billion

Saudi Arabia - $404 billion

Brazil - $341 billion

Singapore - $289 billion

Germany - $277 billion

United States of America - $242 billion