Chinese banks record $45.3 billion foreign exchange settlement deficit

Chinese commercial banks recorded a $45.3 billion foreign exchange settlement deficit in January.

The China State Administration of Foreign Exchange explained that banks’ foreign exchange purchases amounted to $181.5 billion, while sales amounted to about $226.8 billion.

The authority confirmed that China’s foreign exchange market has been operating in a stable and orderly manner since the beginning of this year, and that it enjoys strong foundations and favorable conditions that contribute to its stable performance, noting that the implementation of more proactive economic policies will play a role in promoting economic growth and supporting the country’s foreign exchange market.

The data also showed that China’s net cross-border capital flow in commodity trade reached $70 billion last month, recording a record level for the same period.