Chinese banks report forex settlement deficit in January-Xinhua

Chinese banks report forex settlement deficit in January

Source: Xinhua

Editor: huaxia

2024-02-23 20:48:45

BEIJING, Feb. 23 (Xinhua) -- China's commercial banks saw a net forex settlement deficit of 70.1 billion yuan (about 9.9 billion U.S. dollars) in January, official data showed on Friday.

In yuan terms, forex purchases by banks stood at 1.45 trillion yuan, while sales reached about 1.52 trillion yuan, data from the State Administration of Foreign Exchange showed.

China's forex market began the new year with a stable performance, sustaining a generally balanced flow of cross-border capital, said Wang Chunying, deputy director and spokesperson of the administration.

In January, the net inflow of funds under the goods trade category increased 7 percent month on month and 10 percent year on year, continuing to underpin cross-border capital flows, Wang said.

The net capital inflow into China's domestic bond market also remained at a high level, she noted.

China's forex market has the necessary foundations and conditions to maintain stable operations, bolstered by the country's consistent economic recovery and the market's growing resilience, Wang said.