They support international payments and exchange rate management. They are not a fund freely available for every government expense.
Foreign exchange reserves
In a nutshell
Foreign exchange reserves are external assets, including foreign currencies and gold, held by monetary authorities.
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Explained simply
A practical example
Hypothetical example: reserves of 6 billion cover three months of imports if monthly imports equal 2 billion in the same unit.
Further reading
Source: BCEAO — Economic glossary.
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What this means
With reserves of 6 billion, simplified coverage is 3 months at unchanged imports.
Educational scenarios. Amounts and rates are fictional, not current market conditions.