Chinese banks see net forex purchase in 2022

Chinese banks reported a net foreign exchange purchase and stable cross-border capital flows in 2022, an official with the country's forex regulator said. This was reported by The Xinhua News Agency.

"The banks recorded a net forex purchase of $107.3 bln in 2022", – said Wang Chunying, deputy head of the State Administration of Foreign Exchange.

"China's currency, the renminbi, remained generally stable at a reasonable and equilibrium level last year, with its two-way fluctuation and strong flexibility", – Wang said.

Current account and foreign direct investment surpluses helped stabilize cross-border capital flows, Wang noted, adding that China's current account is expected to record a surplus at a balanced level in 2023.

The administration's earlier data showed that China's forex reserves stood at $3.1277 trln at the end of 2022.