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Geopolitical shifts and the evolution of reserve management: adapting to a new reality

How great power rivalry affects central bank portfolios by the Central Bank of Brazil’s Ricardo da Costa Martinelli

Oil rig and digital financial charts

The landscape of international reserve management has undergone a fundamental transformation. What was once primarily a technical exercise centred on balancing safety, liquidity and returns within a relatively stable global order, has evolved into a complex endeavour where geopolitical risk has emerged as a central consideration. As Canadian prime minister Mark Carney stated at the World Economic Forum in January 2026, “we are in the midst of a rupture, not a transition”. This observation

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