Definition of capital reserve in US English:

capital reserve


  • A fund or account set aside for major long-term investment projects or other anticipated expenses.

    ‘attaining the equipment required can drain the capital reserves of all but the biggest farmers’
    as modifier ‘the district sets aside money for upkeep and repairs in its capital reserve fund’
    • ‘Capital reserve funds have been used to replace C-Tran's oldest buses, provide passenger amenities and to build the necessary transit centers and park-and-ride facilities.’
    • ‘The remainder will be met from council capital reserves.’
    • ‘The choices facing the council are to scrap its building plans, to go ahead using its capital reserves or to raise council tax.’
    • ‘Hospital chiefs have dipped into capital reserves to prop up an ailing bank balance.’
    • ‘Smaller businesses operate on tighter operating profit margins with fewer capital reserves.’