[New York Fed research shows that the decline in the proportion of U.S. dollar reserves does not mean widespread de-dollarization] September 7th, New York Fed research showed that the decline in the U.S. dollar’s ​​proportion of global foreign exchange reserves does not mean that countries generally shift their reserves from the U.S. dollar to other currencies, but mainly reflects the adjustments of a few foreign exchange reserve management agencies. The U.S. dollar accounted for 56% of official foreign exchange reserves last year, down from 64% a decade ago. The change is often seen as evidence of widespread "de-dollarization" around the world, but Fed researchers say their research shows roughly equal numbers of countries increasing and decreasing their U.S. dollar holdings in two separate phases since 2015. Researchers say changes in other countries' reserve allocations largely reflect their own specific needs, including the need to access U.S. dollar liquidity, exchange rate management, and protection against financing shocks.