China's foreign exchange reserves exceed USD3.26T by end of November

(MENAFN) China's foreign exchange reserves exceeded USD3.26 trillion by the end of November, reflecting an increase of USD4.8 billion, or 0.15 percent, compared to October. This growth highlights the stability of the nation’s foreign exchange holdings amid global economic fluctuations. According to CGTN, the rise was attributed to a strengthening US dollar index and higher prices for global financial assets.

The State Administration of Foreign Exchange (SAFE) noted that the increase in reserves stemmed from various factors, including currency conversion activities and changes in asset valuations. These dynamics are indicative of a responsive approach to managing foreign exchange amid changing international financial conditions. SAFE highlighted that the interplay of these factors supported China’s ability to maintain substantial reserve levels.

Additionally, China’s ongoing economic recovery and growing market confidence have contributed to the stability of its foreign exchange reserves. The administration underscored the role of these domestic improvements in ensuring the reserves remain within a stable range, which is critical for safeguarding economic resilience and financial security in the face of external challenges.

Alongside the rise in foreign exchange reserves, China’s gold holdings also experienced modest growth. Data from the People's Bank of China revealed that gold reserves reached nearly 73 million ounces by the end of November, up from 72.8 million ounces in October. This slight increase in gold reserves reflects the country’s broader strategy to diversify its reserve portfolio and enhance economic stability.

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