According to official data released on Friday, China's foreign exchange reserves have risen to $3.18 trillion in March, as the dollar fell against other major currencies. This increase of $51 billion from the previous month was higher than the $3.149 trillion forecast by a Reuters poll of analysts. The yuan appreciated by 0.86% against the dollar in March, while the dollar depreciated by 2.3% against a basket of other major currencies.
China has the world's largest foreign exchange reserves, and the country's gold reserves also rose from 65.92 million to 66.50 million fine troy ounces at the end of March. The value of China's gold reserves also increased from $120.28 billion at end-February to $131.65 billion at the end of March.
The rise in China's foreign exchange reserves is a reflection of the country's efforts to strengthen its financial position and protect against market risks. China has been diversifying its foreign exchange reserves and reducing its dependence on the dollar, as part of its broader efforts to reform its financial system. Despite concerns over China's debt levels and economic slowdown, the country's foreign exchange reserves continue to be a significant source of stability for the global financial system.
