Bank of England Announces 2026 Foreign Exchange Reserve Financing Operation with Major Banks

On February 9, 2026, the Bank of England issued a market notice regarding its foreign currency reserves financing program. The central bank has appointed four financial institutions—RBC Capital Markets, BMO Capital Markets, HSBC Bank plc, and Morgan Stanley—as joint lead managers for a new issuance operation. This transaction involves a benchmark three-year U.S. dollar bond intended to support the Bank's foreign exchange reserves, which are maintained separately from the UK government's reserves that the Bank manages on behalf of the Treasury. The operation represents the first financing activity for 2026 under the Bank's revised issuance framework, which was announced in September 2025. That earlier announcement outlined a shift toward conducting two benchmark issuances per year with increased transparency and a regular schedule. The current transaction is expected to proceed shortly, contingent on favorable market conditions. The notice includes standard regulatory disclosures, clarifying that it is not an offer of securities in the United States and is directed only to qualified persons in the United Kingdom under applicable financial regulations. Questions about the foreign currency reserves and their financing are to be directed to the Bank's press office.