China’s external Reserves fall to $3.2024trn at year end 2024

China’s external reserves totalled 3.2024 trillion U.S. dollars at the end of December 2024, down by $63.5 billion, or 1.94 per cent, compared to the end of November last year, official data showed Tuesday. The decline in foreign reserves was the lowest in eight months, from $3.26 trillion in November and below expectations of $3.25 trillion. The drop comes amid a strengthening US dollar. The yuan weakened by 1.2% while the dollar gained 2.6% against major currencies.
The State Administration of Foreign Exchange said in a statement that the U.S. dollar index climbed while global financial asset prices declined last month due to monetary policy expectations and macroeconomic data in major economies. Due to the combined effects of factors such as currency translation and changes in asset prices, China’s foreign exchange reserves shrank in December last year, according to the statement.
China’s economy has maintained stable operation and experienced steady growth, with solid advancements in high-quality development, ensuring the general stability of foreign exchange reserves, the administration said.
Meanwhile, gold reserves were at 73.29 million fine troy ounces, slightly higher than 72.96 million troy ounces in the previous month. However, their value declined to $191.34 billion from $193.43 billion, in line with a drop in gold prices.