Chinese banks see $8.3 billion forex surplus in August
Chinese banks bought more foreign currency than they sold in August hinting at a slowing down of outflow of foreign capital from China.
Beijing: Chinese banks bought more foreign currency than they sold in August hinting at a slowing down of outflow of foreign capital from China.
The country's banks returned to a surplus in forex transactions after recording a deficit for two months in June and July, according to the State Administration of Foreign Exchange.
Banks purchased forex worth USD 147.9 billion last month while selling a total of USD 139. 5 billion, creating a surplus of USD 8.3 billion.
Foreign exchange transactions are a major cause of fluctuation in China's foreign exchange reserves and the August surplus indicates a slowing outflow of foreign capital, official media here said.
In the January-August period, forex purchases stood at USD 1.21 trillion, with sales of USD 1.07 trillion, a surplus of USD 139.8 billion.
China's overall foreign exchange reserves were stated to be around USD 3.3 trillion.