Q: The latest data on foreign exchange reserves disseminated by the State Administration of Foreign Exchange (SAFE) show that China's foreign exchange reserves by the end of February 2019 rose by USD 2.3 billion month on month. Could you tell us why such a change occurred? What would you say about the future trends of foreign exchange reserves?

A: By the end of February 2019, China's foreign exchange reserves stood at USD 3,090.2 billion, up by USD 2.3 billion or 0.1% from the end of January.

In February, China's foreign exchange market maintained smooth operation. On the international financial market, the US Dollar Index rose by 0.6%, and the prices of financial assets were mixed with both rise and fall. Under the combined impact of exchange rate translation and changes in asset prices and other factors, the foreign exchange reserves rose slightly.

Since the beginning of this year, the global political and economic environment has still faced many uncertainties, the momentum of economic growth has weakened, and the international financial market has witnessed considerable fluctuations. However, China's economy has maintained sound development, the foreign exchange market expectations continue to improve, cross-border capital flow through major channels and foreign exchange receipts and payments situations have both witnessed positive changes, and foreign exchange reserves has remained stable on the whole.

Looking forward, in the face of the complex and volatile international economic and financial situations, China will continue to deepen the structural reform on the supply side, keep the economy operating within a reasonable range, so as to lay a solid foundation for maintaining the stability of cross-border capital flows and independent equilibrium of balance of payments. Under such factors at home and abroad, China's foreign exchange reserves are expected to remain stable on the whole amid fluctuations.