China News Agency, Beijing, May 7 (Xia Bin) The State Administration of Foreign Exchange (hereinafter referred to as the "Foreign Exchange Administration") released data on the 7th that as of the end of April 2020, China's foreign exchange reserves were nearly 309.15 billion US dollars, an increase from the end of March About 30.8 billion US dollars, an increase of 1%.
In addition, as of the end of April 2020, China's gold reserves were 62.64 million ounces, which remained unchanged for seven consecutive months; in terms of SDR (Special Drawing Rights), China's foreign exchange reserves were 22624.81 billion SDRs, an increase of 19.928 billion SDRs from the end of March.
Foreign Exchange Bureau spokesman and chief economist Wang Chunying said that in April, in response to the continued spread of the new coronary pneumonia epidemic, major countries increased their monetary and fiscal stimulus policies, and investor confidence has recovered. Affected by this, the dollar index fluctuated slightly in the international financial market, and the asset prices of major countries rose. The combination of factors such as exchange rate conversion and asset price changes, the scale of foreign exchange reserves rose slightly in the month.
Wen Bin, chief researcher of China Minsheng Bank, believes that the scale of China's foreign exchange reserves will continue to remain stable in the next stage. On the one hand, the foundation of China ’s long-term economic growth has not changed. At present, domestic counter-cyclical regulation is gradually exerting strength, the trend of epidemic prevention and control is improving, and the resumption of production and production is gradually completed. The economy is actively improving, which is a strong support for foreign exchange reserves.
On the other hand, due to the spread of the epidemic overseas, RMB asset prices are relatively stable, international investors are optimistic about China ’s development prospects, and international capital inflows help promote cross-border capital balance. Combining various factors, China's foreign exchange market is running smoothly, and the scale of its foreign exchange reserves is expected to remain stable and able to withstand various risks. (Finish)