The State Administration of Foreign Exchange (SAFE) has recently disseminated the data on banks' foreign exchange settlements and sales as well as banks' foreign-related receipts and payments for customers for October 2020. The SAFE deputy administrator and press spokesperson Wang Chunying answered media questions on foreign exchange receipts and payments for October 2020.
Q: Could you brief us on the changes in China’s foreign exchange receipts and payments for October 2020?
A: In October, China’s foreign exchange market remained stable and market expectations were rational on the whole. Banks’ foreign exchange settlements and sales registered a surplus of US$13 billion. A rational trading pattern was formed, that is, customers settle foreign exchange when the renminbi exchange rate goes up and purchase foreign exchange when the rate goes down. Foreign exchange expectations stayed stable. Enterprises, individuals and other non-banking sectors registered net inflows of cross-border capital of US$25.1 billion. Foreign exchange reserves remained generally stable with a balance of US$3.1280 trillion.
Going forward, China’s economy will shift from fast growth to high-quality development. A new development pattern, featured as domination by domestic cycle and mutual promotion between domestic and international cycle, is expected to take shape at a faster pace. The two-way opening-up of financial market will be advanced steadily. All this will be conducive to maintaining the reasonable and balanced flows of China’s cross-border capital.