⚠️Automatic translation pending review by an economist.
The blue area shows the evolution of the onshore renminbi against a basket of currencies. The red curve represents the level of foreign currency reserves held by the People’s Bank of China. China’s foreign currency reserves have fallen by US$420 billion in less than six months, their lowest level since May 2012. Reserves now stand at US$3.23 trillion. The governor of the People’s Bank of China (PBOC) has stated that the healthy balance of payments, stable exchange rate and capital outflows mean that no further monetary policy interventions will be necessary in the near future.
