Sign in | Join us  
      
 Popular Searches:diamond,cbn,tuck point blade,cup wheel,saw blade, brown fused alumina
Home -- Information


  Featured Companies
 • Yantai Cct Metal…
 • Dymend Tools Co.,…
 • Henan Boreas New…
 • Yancheng Xiehe Machinery…
 • EKF Industrial Supplies…
 • Ruishi New Material…
 • MORESUPERHARD
 • Henan Banner New…
 • Zhengzhou best synthetic…
 • Zhengzhou Haixu…

 Print  Add to Favorite
Custom your font size:     

China says capital outflows 'normal', no capital flight


Post Date: 27 Apr 2015    Viewed: 553

China's capital outflows are "normal" and should not be regarded as capital flight, a senior official at the currency regulator said on Thursday after data showed money had left the country at its fastest pace in two years in March.

Guan Tao, the head of the department of international payments at the State Administration of Foreign Exchange (SAFE), said China was closely watching its cross-border capital flows, but has no plans to stop cash from leaving the country.

"Capital outflows are expected adjustments, which cannot be equated to illegal activities or secret capital flight," Guan told a news briefing.

"Currently, the domestic economy faces relatively big downward pressure, and the world economy is in the middle of deep adjustments. The US dollar continues to strengthen," he said.

Data earlier this week showed the central bank and commercial banks had sold a net 156.5 billion yuan ($25.3 billion) worth of foreign exchange in March, a high last seen in March 2013.

Analysts say foreign exchange sales point to capital leaving China, which can be problematic as it shrinks the country's money supply at a time when its economy is grinding towards a 25-year low in growth.

Separate data released by SAFE on Thursday also suggested that funds were exiting China, as figures showed commercial banks and the central bank logging a $91.4 billion deficit in foreign exchange settlement in the first quarter.

Guan said authorities can offset the impact of capital flows by adjusting interest rates or banks' reserve requirements to ensure the economy has an ample supply of yuan.

He added that China's government does not wish to see any further depreciation in the yuan, in a reiteration of Premier Li Keqiang's comments earlier this month.

Pegged to a rising dollar, China's yuan has surged this year against a host of other currencies such as the euro, increasing the pressure on exporters which already face lukewarm foreign demand. 


Superhard Material of China

Superhard Material of China

Abrasives and Grinding Products of China

Abrasives and Grinding Products of China

Coated Abrasives of China

Coated Abrasives of China

Chia International Abrasives & Grinding Exposition

China International Abrasives & Grinding Exposition

Home | About Us | Members | Contact | Advertising Quotation
Supported by Yuanfa Information Technology co.,Ltd
Copyright ©Abrasivesunion 2006. All rights reserved
Page rendered in 0.0258 seconds
增值电信业务经营许可证:豫B2-20202116  ICP备案:豫B2-20100036-2