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The 2024 National Foreign Exchange Administration Work Conference was convened in Beijing from January 4 to 5, 2024. During the conference, participants thoroughly studied and implemented the principles outlined in the Central Economic Work Conference and the Central Financial Work Conference. They also summarized the foreign exchange administration work in the year 2023, analyzed the current financial and foreign exchange situation, and made deployments of the key tasks for 2024. Zhu Hexin, the Administrator of the State Administration of Foreign Exchange (the SAFE), and head of its party-leading group, delivered a work report. Members of the party leading group and the Deputy Administrators as well as the Chief Economist of the SAFE attended the conference. Zhou Xiaoying, Deputy Leader of the 18th Circuit Guidance Group of the CPC Central Committee on Themed Education, also attended the conference and offered guidance. During the conference, it was pointed out that in 2023, the SAFE unwaveringly implemented the decisions and arrangements of the CPC Central Committee and the State Council, coordinated development and security, and advanced reform and opening-up in the foreign exchange market to boost economic recovery. The conference highlighted the SAFE’s effective measures in maintaining the stable operation of the foreign exchange market and the security of the national economy and finance, as well as the new progress achieved by the SAFE across various areas of work. It was noted that the year 2023 witnessed a basic equilibrium in the balance of payments, while the operation of the foreign exchange market remained basically stable amidst a complex and challenging landscape. Firstly, the Party’s leadership has been further strengthened. The SAFE rigorously carried out the themed education on studying and implementing Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, thoroughly studied, disseminated, and implemented the guiding principles of the Central Financial Work Conference. The SAFE also rigorously and resolutely undertook rectification tasks assigned by central discipline inspections, better strengthened primary-level party organizations, and took concrete actions to resolutely advocate the establishment of both Comrade Xi Jinping’s core position on the Party Central Committee and in the Party as a whole, as well as the guiding role of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. It resolutely upheld Comrade Xi Jinping’s core position on the Party Central Committee and in the Party as a whole and upheld the authority of the Party Central Committee and its centralized, unified leadership. Secondly, there has been a continual enhancement in the quality and effectiveness of foreign exchange administration services for the real economy. The SAFE enhanced policy supply for the facilitation of cross-border trade and investment, with a comprehensive set of nationwide initiatives already in place. Additionally, policies further facilitating cross-border financing have been extensively endorsed, fostering the development of innovative and high-tech enterprises. The SAFE extended support to private enterprises, aiding their two-way opening of “bringing in” foreign investment and “going global” with outward investment. Moreover, foreign exchange services have been optimized, ensuring greater convenience for individual foreign exchange transactions. High-quality foreign exchange support services were provided for major events such as the Hangzhou Asian Games and the Chengdu FISU World University Games. The SAFE drove the continuous enhancement of digital capital account services in the banking sector and helped diversify the application scenarios for cross-border financial services. Further efforts have been made to deepen the construction of the foreign exchange market and improve enterprise risk hedging services. In support of regional opening-up and innovation, the SAFE piloted innovative foreign exchange administration policies in key areas such as the Guangdong-Macao in-depth cooperation zone in Hengqin, and Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone as well as Xiong’an New Area, expanding the pilot areas of the policies for high-level opening-up of cross-border trade and investment. Thirdly, foreign exchange supervision has become more precise and effective. The SAFE strengthened macroprudential management, which includes implementing counter-cyclical measures to balance supply and demand in the foreign exchange market. The SAFE enhanced supervision on key businesses and entities, with a heightened focus on collaborative regulatory efforts. It systematically advanced reforms in the banking sector’s foreign exchange operations, and prioritized technological empowerment to enhance the effectiveness of supervision. The SAFE also took stringent measures to crack down on illegal activities, such as underground banks, cross-border gambling, and export tax evasion related to foreign exchange violations. Fourthly, the SAFE has been improving the operation and management of foreign exchange reserves, with the total reserve size stably maintained above USD 3.1 trillion throughout the year. The conference emphasized that in 2024, foreign exchange administration work should be guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. It called for the comprehensive implementation of the guiding principles of the 20th CPC National Congress and the second plenary session of the 20th CPC Central Committee. Furthermore, the decisions and arrangements established at the Central Economic Work Conference and the Central Financial Work Conference shall be diligently implemented. The conference also highlighted the significance of upholding and strengthening the Party’s overarching leadership in financial work. It reiterated an unwavering commitment to pursue the distinctive path of financial development with Chinese Characteristics, guided by the principles of seeking progress while maintaining stability, promoting stability through progress, and establishing the new before abolishing the old. The objective is to effectively balance high-quality development and robust security, steadily advance deep-level reforms, and foster high-standard opening-up in the foreign exchange sector. Besides, the conference underscored the importance of facilitating cross-border trade and investment, enhancing the integrated management of the foreign exchange market through the two-pronged “macro-prudential management with micro regulation” framework, and ensuring the security, liquidity, and value appreciation of foreign exchange reserve assets. Overall, the conference highlighted the pivotal role of the foreign exchange administration sector in supporting China’s pursuit of high-quality development on its path to modernization. The conference outlined key tasks for foreign exchange administration in 2024. Firstly, the SAFE will be committed to upholding and strengthening the centralized and unified leadership of the Party Central Committee over financial and foreign exchange work. It will gain a deep understanding of the decisive significance of establishing Comrade Xi Jinping’s core position on the Party Central Committee and in the Party as a whole and establishing the guiding role of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. The SAFE will place utmost importance on prioritizing the Party’s political building, aiming to enhance cohesion and forge the Party’s soul with Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era. More efforts will be dedicated to studying, disseminating, and implementing the guiding principles of the Central Financial Work Conference. Furthermore, SAFE will keep on thoroughly implementing the rectification tasks assigned by the central discipline inspections. This involves continuous efforts to uphold integrity, discipline, and anti-corruption measures while focusing on improving the competences of officials who are professional and loyal to our Party. Secondly, the SAFE will advance reforms and opening up in the foreign exchange sector, with an aim to better serve the high-quality development of the real economy. With a focus on supporting technological innovation enterprises and micro, small, and medium-sized enterprises (MSMEs), the SAFE will enhance cross-border trade and investment facilitation. Efforts will be directed toward expanding the coverage of facilitation policies in terms of foreign exchange receipts and payments for high-quality enterprises, thus propelling the standardized and innovative development of new trade formats. Additionally, the SAFE will improve the integrated capital pooling trials for multinational corporations' both domestic and foreign currencies, while systematically advancing the two-way opening of China’s financial markets, particularly by enhancing the quality of capital account opening. The SAFE will establish an open and diverse foreign exchange market with robust functions and orderly competition. Furthermore, the SAFE will continue to improve exchange rate risk management services for enterprises. It will provide special support for the development of key areas such as the Hainan Free Trade Port and the Guangdong-Hong Kong-Macao Greater Bay Area to foster high-level free trade pilot zones. Thirdly, the SAFE will mitigate the risks associated with cross-border capital flows. This involves strengthening macro-prudential management and expectation guidance, enhancing monitoring, early warning, and response mechanisms for cross-border capital flows, and resolutely correcting pro-cyclical and one-sided behaviors. The SAFE will maintain the RMB exchange rate at a reasonable and balanced level, ensuring its fundamental stability, and safeguard the basic equilibrium of the balance of payments. Fourthly, The SAFE will achieve more comprehensive regulatory coverage in the foreign exchange sector. The objective is to regulate foreign exchange businesses in accordance with the law and ensure thorough oversight. The normalization of regulatory practices will be reinforced, and technological tools will be employed to enhance supervisory effectiveness. The SAFE will improve the management mechanism for cross-border transactions, emphasizing principles such as authenticity, diversity, due diligence, safety, and efficiency. The SAFE will also prudently advance the reform of bank foreign exchange operations, and rigorously crack down on any illegal or non-compliant activities in the foreign exchange market. Fifthly, the SAFE will improve the management of foreign exchange reserves with Chinese characteristics, ensuring the safety, liquidity, and value preservation and appreciation of these assets. Sixthly, the SAFE will solidify the foundation of foreign exchange administration. This involves strengthening the legal framework for foreign exchange management, accelerating the establishment of a modernized international balance of payments statistical system, comprehensively streamlining the operational procedures of the SAFE through institutional reforms, exploring the implementation of intelligent foreign exchange administration, and conducting in-depth research on key issues related to foreign exchange. Head officials of relevant departments, provincial branches, and institutions of the SAFE, as well as colleagues accredited to the Discipline Inspection and Supervision Team, attended the conference. Representatives from the Office of the Central Financial and Economic Affairs Commission, the Office of the Central Financial Commission, the General Office of the State Council, and the National Audit Office were also presented at the conference upon invitation. 2024-01-05/en/2024/0105/2164.html
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In December 2023, the export and import of China’s international trade in goods and services totalled RMB 4339.1 billion, up 2 percent over the same time last year. Of this, the export of goods recorded RMB 2056.8 billion and the import recorded RMB 1646.8 billion, resulting in a surplus of RMB 409.9 billion. The export of services recorded RMB 228.0 billion and the import recorded RMB 407.6 billion, resulting in a deficit of RMB 179.6 billion. In terms of the major items, the export and import of travel, transport, other business services, telecommunications, computer and information services registered RMB 171.1 billion, RMB 158.8 billion, RMB 122.6 billion and RMB 67.4 billion respectively. In the US dollar terms, in December 2023, the export and import of China’s international trade in goods and services were USD 321.6 billion and USD 289.2 billion respectively, with a surplus of USD 32.4 billion.(End) International Trade in Goods and Services of China December 2023 Item In 100 million of RMB In 100 million of USD Goods and services 2303 324 Credit 22847 3216 Debit -20544 -2892 1. Goods 4099 577 Credit 20568 2895 Debit -16468 -2318 2. Services -1796 -253 Credit 2280 321 Debit -4076 -574 2.1Manufacturing services on physical inputs owned by others 78 11 Credit 89 12 Debit -11 -2 2.2Maintenance and repair services n.i.e 29 4 Credit 78 11 Debit -49 -7 2.3Transport -502 -71 Credit 543 76 Debit -1045 -147 2.4Travel -1493 -210 Credit 109 15 Debit -1602 -226 2.5Construction 129 18 Credit 184 26 Debit -55 -8 2.6Insurance and pension services -81 -11 Credit 28 4 Debit -109 -15 2.7Financial services 6 1 Credit 32 4 Debit -26 -4 2.8Charges for the use of intellectual property -261 -37 Credit 80 11 Debit -341 -48 2.9Telecommunications, computerand information services 144 20 Credit 409 58 Debit -265 -37 2.10Other business services 184 26 Credit 705 99 Debit -521 -73 2.11Personal, cultural, and recreational services -32 -4 Credit 11 2 Debit -43 -6 2.12Government goods and services n.i.e 2 0 Credit 12 2 Debit -10 -1 Notes: 1. The international trade in goods and services in this table refers to the transactions between residents and non-residents, based on the same standard as that for BOP statement. The monthly data are preliminary and may be inconsistent with the quarterly data in the BOP statement. 2. The data on international trade in goods and services are prepared in USD, and the RMB data for the current month is derived by converting the USD data at the monthly average central parity rate of the RMB against the USD. 3. This table employs rounded-off numbers. Definition of Indicators: Goods and Services: refers to the trade in goods and services between residents and non-residents, which is based on the same standard as that for the BOP statement. 1. Goods: refers to transactions in goods whereby the economic ownership is transferred between the Chinese residents and non-residents. The credit side records export of goods, while the debit side records import of goods. The data of goods account are mainly from the customs statistics of imports and exports, but differ from the statistics of the customs mainly in the following aspects: first, the goods in the BOP statement only reflect the goods whose ownership has been transferred (e.g. goods under the trade modes such as general trade and processing trade with imported materials), while the goods whose ownership is not transferred (e.g. manufacturing services with supplied materials or with exported materials) are included in the statistics of trade in services instead of the statistics of trade in goods; second, as required by the BOP statistics, the goods imported and exported are valued on the FOB basis, but as required by the customs, the goods exported are valued on the FOB basis, whereas goods imported are on the CIF basis. Therefore, for the purpose of the BOP statistics, the international transport and insurance premiums are taken out from the value of imported goods and included in the trade in services; and third, the data on net export of goods in merchanting which are not included in the customs statistics are supplemented. 2. Services: includes manufacturing services on physical inputs owned by others, maintenance and repair services n.i.e, transport, travel, construction, insurance and pension services, financial services, charges for the use of intellectual property, telecommunications, computer and information services, other business services, personal, cultural and recreational services, and government goods and services n.i.e. The credit side records services supplied, while the debit side records services received. 2.1 Manufacturing services on physical owned by others: processor only provides processing, assembly, packaging and other services and charges service fee from the owner, while the ownership of the goods is not transferred between the owner and the processor. The credit side records the manufacturing services supplied by the Chinese residents on physical inputs owned by non-residents, and vice versa for debit side. 2.2 Maintenance and repair services: refer to the maintenance and repair services supplied by residents to non-residents or vice versa on goods and equipment (such as vessel, aircraft, and other transportation facility) owned by the receiving party. The credit side records the maintenance and repair services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.3 Transport: refers to the process of transporting people and goods from one place to another, and the relevant supporting and auxiliary services, as well as postal and delivery services. The credit side records the international transport, postal and delivery services supplied by residents to non-residents, and vice versa for debit side. 2.4 Travel: refers to goods consumed and services purchased by travelers in various economies as non-residents. The credit side records the goods and services provided by the Chinese residents to non-residents who have stayed in China for less than one year, as well as non-residents studying abroad and seeking medical treatment for indefinite period of stay. The debit side records the goods and services purchased by the Chinese residents when traveling, studying or seeking medical services abroad from non-residents. 2.5 Construction services: refer to the establishment, renovation, maintenance or expansion of fixed assets in the form of buildings, land improvement, roads, bridges and dams and other engineering buildings of engineering nature, relevant installation, assembly, painting, pipeline construction, demolition and project management,as well as site preparation, measurement and blasting and other special services. The credit side records the construction services provided by the Chinese residents outside the economic territory. The debit side records the construction services received by the Chinese residents in the Chinese economic territory from non-residents. 2.6 Insurance and pension services: refers to various insurance services and commission to agents related with insurance transaction. The credit side records the life insurance and annuity, non-lifeinsurance, reinsurance, standardized guarantee services and relevant supporting services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.7 Financial services: refer to financial intermediation and supporting services, excluding those covered by insurance and pension services. The credit side records the financial intermediation and supporting services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.8 Charges for the use of intellectual property: refer to licensed use of intangible, non-productive/non-financial assets and exclusive rights between residents and non-residents and the licensed use of existing original works or prototypes. The credit side records the intellectual property-related services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.9 Telecommunications, computer and information services: refer tocommunications services between residents and non-residents and transactions of services related to computer data and news, excluding commercial services delivered via telephone, computer and Internet. The credit side records the telecommunications, computer and information services supplied by residents to non-residents, and vice versa for debit side. 2.10 Other business services: refer to other types of services between residents and non-residents, including research and development services, professional and management consulting services, technical and trade-related services. The credit side records the other business services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.11 Personal, cultural and recreational services: refer to transactions of personal, cultural and recreational services between residents and non-residents, including audiovisual and related services (films, radio, television programs and music recordings) and other personal, cultural and recreational services (health, education, etc.). The credit side records the related services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.12 Government goods and services n.i.e: refer to various goods and services provided and purchased by governments and international organizations not included in other categories of goods and services. The credit side records the goods and services not included elsewhere and supplied by the Chinese residents to non-residents, and vice versa for debit side. 【Print】 【Close】 2024-01-26/en/2024/0126/2171.html
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In November 2023, the export and import of China’s international trade in goods and services totalled RMB 4164.5 billion, up 5 percent over the same time last year. Of this, the export of goods recorded RMB 2006.5 billion and the import recorded RMB 1648.8 billion, resulting in a surplus of RMB 357.7 billion. The export of services recorded RMB 188.9 billion and the import recorded RMB 320.4 billion, resulting in a deficit of RMB 131.5 billion. In terms of the major items, the export and import of transport, travel, other business services, telecommunications, computer and information services registered RMB 158.9 billion, RMB 131.5 billion, RMB 95.4 billion and RMB 51.3 billion respectively. In the US dollar terms, in November 2023, the export and import of China’s international trade in goods and services were USD 306.9 billion and USD 275.2 billion respectively, with a surplus of USD 31.6 billion. (End) International Trade in Goods and Services of China November 2023 Item In 100 million of RMB In 100 million of USD Goods and services 2262 316 Credit 21954 3069 Debit -19692 -2752 1. Goods 3577 500 Credit 20065 2805 Debit -16488 -2305 2. Services -1315 -184 Credit 1889 264 Debit -3204 -448 2.1Manufacturing services on physical inputs owned by others 78 11 Credit 84 12 Debit -6 -1 2.2Maintenance and repair services n.i.e 17 2 Credit 57 8 Debit -40 -6 2.3Transport -508 -71 Credit 540 76 Debit -1049 -147 2.4Travel -1104 -154 Credit 106 15 Debit -1209 -169 2.5Construction 64 9 Credit 113 16 Debit -49 -7 2.6Insurance and pension services -48 -7 Credit 0 0 Debit -48 -7 2.7Financial services -3 0 Credit 19 3 Debit -22 -3 2.8Charges for the use of intellectual property -137 -19 Credit 43 6 Debit -180 -25 2.9Telecommunications, computer and information services 136 19 Credit 325 45 Debit -188 -26 2.10Other business services 212 30 Credit 583 82 Debit -371 -52 2.11Personal, cultural, and recreational services -23 -3 Credit 8 1 Debit -31 -4 2.12Government goods and services n.i.e 1 0 Credit 11 1 Debit -9 -1 Notes: 1. The international trade in goods and services in this table refers to the transactions between residents and non-residents, based on the same standard as that for BOP statement. The monthly data are preliminary and may be inconsistent with the quarterly data in the BOP statement. 2. The data on international trade in goods and services are prepared in USD, and the RMB data for the current month is derived by converting the USD data at the monthly average central parity rate of the RMB against the USD. 3. This table employs rounded-off numbers. Definition of Indicators: Goods and Services: refers to the trade in goods and services between residents and non-residents, which is based on the same standard as that for the BOP statement. 1. Goods: refers to transactions in goods whereby the economic ownership is transferred between the Chinese residents and non-residents. The credit side records export of goods, while the debit side records import of goods. The data of goods account are mainly from the customs statistics of imports and exports, but differ from the statistics of the customs mainly in the following aspects: first, the goods in the BOP statement only reflect the goods whose ownership has been transferred (e.g. goods under the trade modes such as general trade and processing trade with imported materials), while the goods whose ownership is not transferred (e.g. manufacturing services with supplied materials or with exported materials) are included in the statistics of trade in services instead of the statistics of trade in goods; second, as required by the BOP statistics, the goods imported and exported are valued on the FOB basis, but as required by the customs, the goods exported are valued on the FOB basis, whereas goods imported are on the CIF basis. Therefore, for the purpose of the BOP statistics, the international transport and insurance premiums are taken out from the value of imported goods and included in the trade in services; and third, the data on net export of goods in merchanting which are not included in the customs statistics are supplemented. 2. Services: includes manufacturing services on physical inputs owned by others, maintenance and repair services n.i.e, transport, travel, construction, insurance and pension services, financial services, charges for the use of intellectual property, telecommunications, computer and information services, other business services, personal, cultural and recreational services, and government goods and services n.i.e. The credit side records services supplied, while the debit side records services received. 2.1 Manufacturing services on physical owned by others: processor only provides processing, assembly, packaging and other services and charges service fee from the owner, while the ownership of the goods is not transferred between the owner and the processor. The credit side records the manufacturing services supplied by the Chinese residents on physical inputs owned by non-residents, and vice versa for debit side. 2.2 Maintenance and repair services: refer to the maintenance and repair services supplied by residents to non-residents or vice versa on goods and equipment (such as vessel, aircraft, and other transportation facility) owned by the receiving party. The credit side records the maintenance and repair services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.3 Transport: refers to the process of transporting people and goods from one place to another, and the relevant supporting and auxiliary services, as well as postal and delivery services. The credit side records the international transport, postal and delivery services supplied by residents to non-residents, and vice versa for debit side. 2.4 Travel: refers to goods consumed and services purchased by travelers in various economies as non-residents. The credit side records the goods and services provided by the Chinese residents to non-residents who have stayed in China for less than one year, as well as non-residents studying abroad and seeking medical treatment for indefinite period of stay. The debit side records the goods and services purchased by the Chinese residents when traveling, studying or seeking medical services abroad from non-residents. 2.5 Construction services: refer to the establishment, renovation, maintenance or expansion of fixed assets in the form of buildings, land improvement, roads, bridges and dams and other engineering buildings of engineering nature, relevant installation, assembly, painting, pipeline construction, demolition and project management,as well as site preparation, measurement and blasting and other special services. The credit side records the construction services provided by the Chinese residents outside the economic territory. The debit side records the construction services received by the Chinese residents in the Chinese economic territory from non-residents. 2.6 Insurance and pension services: refers to various insurance services and commission to agents related with insurance transaction. The credit side records the life insurance and annuity, non-lifeinsurance, reinsurance, standardized guarantee services and relevant supporting services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.7 Financial services: refer to financial intermediation and supporting services, excluding those covered by insurance and pension services. The credit side records the financial intermediation and supporting services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.8 Charges for the use of intellectual property: refer to licensed use of intangible, non-productive/non-financial assets and exclusive rights between residents and non-residents and the licensed use of existing original works or prototypes. The credit side records the intellectual property-related services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.9 Telecommunications, computer and information services: refer tocommunications services between residents and non-residents and transactions of services related to computer data and news, excluding commercial services delivered via telephone, computer and Internet. The credit side records the telecommunications, computer and information services supplied by residents to non-residents, and vice versa for debit side. 2.10 Other business services: refer to other types of services between residents and non-residents, including research and development services, professional and management consulting services, technical and trade-related services. The credit side records the other business services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.11 Personal, cultural and recreational services: refer to transactions of personal, cultural and recreational services between residents and non-residents, including audiovisual and related services (films, radio, television programs and music recordings) and other personal, cultural and recreational services (health, education, etc.). The credit side records the related services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.12 Government goods and services n.i.e: refer to various goods and services provided and purchased by governments and international organizations not included in other categories of goods and services. The credit side records the goods and services not included elsewhere and supplied by the Chinese residents to non-residents, and vice versa for debit side. 2023-12-29/en/2023/1229/2162.html
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The State Administration of Foreign Exchange (SAFE) recently released the Balance of Payments (BOP) for the third quarter and the first three quarters of 2023 as well as the International Investment Position (IIP) at the end of September 2023. SAFE Deputy Administrator and Press Spokesperson Wang Chunying answered media questions on relevant issues. Q: Could you brief us on China’s BOP for the first three quarters of 2023? A: In the first three quarters of 2023, China’s BOP maintained a general equilibrium. First, the current account surplus remained within a reasonable and balanced range. In the first three quarters of 2023, the current account surplus registered USD 209 billion, with its ratio to Gross Domestic Product (GDP) reaching 1.6%, thus maintaining within a reasonable and balanced range. Specifically, trade in goods in terms of BOP recorded a surplus of USD 454.4 billion, the second-highest in the same period in history during the first three quarters of the year. The export of goods reached USD 2336.4 billion, while imports of goods recorded USD 1882 billion. Both remained at a high level during the same period in history. Trade in services continued to recover at a steady pace, and expenditure on cross-border tourism and related items increased in an orderly manner. In the first three quarters of 2023, the trade deficit in services totaled USD 168.4 billion. Among the main items, the travel deficit rose by 69% year-on-year to USD 130.3 billion. The deficit in primary income narrowed by 46% year-on-year to USD 87.7 billion, mainly due to the 42% year-on-year increase in income from various outbound investments. Second, cross-border investments were conducted in an orderly manner. In the first three quarters of 2023, the net inflow of foreign direct investment (FDI) in China under the capital account reached USD 15.5 billion. In this regard, there was a net inflow of USD 38.7 billion of direct investments in China in the form of equity investment, involving capital contributions and reinvestment of profits. Recently, China witnessed a positive trend in the net inflow of foreign direct investment. This improvement can be attributed to a decrease in seasonal factors influencing the distribution of profits from direct investments and a slowdown in the net outflow of funds related to the corporate debts of affiliated enterprises. In the meantime, with its persistent advantages in the hyperscale market and complete industrial system, and the systematic steps taken to facilitate high-level institutional opening up, China is poised to continue attracting a steady inflow of foreign investments in the foreseeable future. Besides, in the first three quarters of 2023, the scale of cross-border capital outflows under securities investment narrowed by 62% year on year. Notably, non-residents’ investment in Chinese bonds has turned into a net inflow since September. With the gradual improvement of the internal and external economic and financial environment, the stability of China’s cross-border capital flow will be further strengthened. In summary, the favorable conditions supporting China’s economic development outweigh the unfavorable factors. The overall trend of China's economic recovery and long-term improvement remains unchanged, which is conducive to supporting China in maintaining a basic equilibrium in its BOP. Q: What would you say about China’s IIP at the end of September 2023? A: By the end of September 2023, China’s IIP remained robust, and its reserve assets continued to rank first in the world in terms of size. First, China’s net external assets increased in size. As of the end of September 2023, China’s external assets amounted to USD 9304.6 billion and its external liabilities amounted to USD 6448.1 billion. Its net external assets (assets minus liabilities) reached USD 2856.5 billion, up by 2.9% from the end of June, maintaining stable growth. Second, the overall structure of China’s external assets and external liabilities continued to be optimized. In the catalogue of China’s external assets, China’s reserve assets reached USD 3.3 trillion, continuing to rank first in the world in terms of size. The proportion of non-reserve assets increased slightly from the end of June 2023. With respect to external liabilities, more than half are direct investments in China, totaling USD 3.3 trillion. This reflects an increase compared to the end of June 2023, indicating that China remains attractive to long-term foreign capitals. 2023-12-29/en/2023/1229/2170.html
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As shown in the statistics of the State Administration of Foreign Exchange (SAFE), in December 2023, the amount of foreign exchange settlement and sales by banks was RMB 1434.8 billion and RMB 1465.8 billion, respectively. During January to December 2023, the accumulative amount of foreign exchange settlement and sales by banks was RMB 15533.6 billion and RMB 16057.1 billion, respectively. In the US dollar terms, in December 2023, the amount of foreign exchange settlement and sales by banks was USD 202.0 billion and USD 206.3 billion, respectively. During January to November 2023, the accumulative amount of foreign exchange settlement and sales by banks was USD 2206.2 billion and USD 2279.5 billion, respectively. In December 2023, the amount of cross-border receipts and payments by non-banking sectors was RMB 4065.2 billion and RMB 3965.1 billion, respectively. During January to December 2023, the accumulative amount of cross-border receipts and payments by non-banking sectors was RMB 43663.1 billion and RMB 44170.3 billion, respectively. In the US dollar terms, in December 2023, the amount of cross-border receipts and payments by non-banking sectors was USD 572.3 billion and USD 558.2 billion, respectively. During January to December 2023, the accumulative amount of cross-border receipts and payments by non-banking sectors was USD 6195.5 billion and USD 6264.2 billion, respectively. Addendum: Glossary and relevant definitions Balance of payments (BOP) refers to all economic transactions between residents and non-residents. Foreign exchange settlement and sales by banks refers to settlement and sale transaction that bank executes for customers and for the banks themselves, including statistic data on settlements of forward contracts for foreign exchange settlement and sales and the exercises of option, and excluding the transactions in the interbank foreign exchange market. The statistic reporting date of Foreign exchange settlement and sales by banks should be the trade day of the Foreign exchange settlement and sales transaction. By definition, foreign exchange settlement means that foreign exchange holders sell foreign exchange to banks, and foreign exchange sales means that banks sell foreign exchange to foreign exchange buyers. The newly signed contract amount of forward foreign exchange settlement and sales refers to the binding forward contract between a bank and its client that predetermines foreign exchange currency, amount, exchange rate and tenor which to be executed upon maturity. The unwind amount of forward foreign exchange settlement and sales refers to, where client is unable to perform the original forward contract due to change in its real demand, client to fully or partially close its forward position by executing another deal with opposite direction to the original contract. The rolling amount of forward foreign exchange settlement and sales refers to client to adjust the settlement date of original contract due to change in its real demand. The outstanding amount of forward foreign exchange settlement and sales by the end of the current period refers to the total amount of forward contracts accumulated from all non-matured forward contracts with client. The net Delta exposure of outstanding options refers to the implied foreign exchange spot risk exposure from outstanding option contracts that bank executed with client. The cross-border receipts and payments by non-banking sectors refers to the receipts and payments between domestic non-banking sectors (including institutional and individual residents) and non-residents through domestic banks, excluding receipts and payments in cash. In particular, the statistics includes cross-border receipts and payments between non-banking sectors and non-residents through domestic banks (including RMB and foreign currency), and domestic receipts and payments between non-banking sectors and non-residents through domestic banks (temporarily excluding domestic receipts and payments in RMB between individual residents and non-resident individuals). Data are collected when customers conduct receipts and payments with non-resident counterparties at domestic banks. Specifically, the receipts refer to the capital of non-banking sectors received from non-residents via domestic banks; the payments refer to the capital of non-banking sectors paid to non-residents via domestic banks. 2024-01-15/en/2024/0115/2167.html
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The State Administration of Foreign Exchange (SAFE) has recently released data on China’s external debt as of the end of September 2023. SAFE’s Deputy Administrator and Press Spokesperson Wang Chunying answered media questions on relevant issues. Q: Could you brief us on China’s external debt in the third quarter of 2023? A: In the third quarter of 2023, the scale of China’s external debt dropped slightly, and its structure remained basically stable. As of the end of September 2023, the full-scale outstanding external debt (including domestic and foreign currencies) reached USD 2382.9 billion, representing a decline of USD 50.9 billion or 2% from the end of June. With respect to currency structures, the external debt in domestic currency accounted for 45% of China’s total external debt, up by 1 percentage point from the end of June. In terms of maturity structure, the medium- and-long-term external debt accounted for 44%, basically the same as the level recorded at the end of June 2023. Q: What would you say about China’s external debt situation? A: The decline in the scale of external debt was mainly influenced by the decrease in the outstanding external debt of banks. In the third quarter of 2023, the outstanding external debt of banks fell by USD 55.1 billion, contributing 108% to the decline in outstanding external debt. China’s external debt level is expected to remain generally stable. With major developed economies nearing the conclusion of their monetary policy tightening cycles, a related gradual reduction in spillover impacts is anticipated. In summary, the favorable conditions supporting China’s economic development outweigh the unfavorable factors. The overall trend of China's economic recovery and long-term improvement remains unchanged. The foundation for maintaining a generally stable external debt scale remains strong. 2023-12-29/en/2023/1229/2169.html
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According to the statistics of the State Administration of Foreign Exchange (SAFE), the Chinese foreign exchange market (excluding foreign currency pairs, the same below) recorded total transactions of RMB 20.54 trillion (equivalent to USD 2.89 trillion) in December 2023. In terms of markets, the transactions volume of client market was RMB 3.36 trillion (equivalent to USD 0.47 trillion), and the transactions volume of interbank market was RMB 17.18 trillion (equivalent to USD 2.42 trillion). In terms of products, the cumulative transactions volume of the spot market was RMB 7.07 trillion (equivalent to USD 1.00 trillion), and that of the derivatives market was RMB 13.47 trillion (equivalent to USD 1.90 trillion). From January to December 2023, a total of RMB 252.58 trillion (equivalent to USD 35.85 trillion) was traded in the Chinese foreign exchange market. 2024-01-26/en/2024/0126/2172.html
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According to the statistics by the State Administration of Foreign Exchange (SAFE), by the end of December 2023, China’s foreign exchange reserves registered USD 3238 billion, up by USD 66.2 billion or 2.1%, from the end of November. In December 2023, the US dollar index fell, and global financial asset prices witnessed a widespread increase, driven by factors including monetary policies and expectations in major economies. The combined effect of currency translation and changes in asset prices and other factors led to an increase in foreign exchange reserves. China's economy exhibits a continuous recovery, marked by solid progress in high-quality development, which will provide support for the general stability of China’s foreign exchange reserves. 2024-01-07/en/2024/0107/2168.html
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FILE： Annual Report of the State Administration of Foreign Exchange (2021) 2022-12-26/en/2020/1221/2163.html
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In August 2024, the export and import of China’s international trade in goods and services totalled RMB 4180.0 billion, up 4 percent over the same time last year. Of this, the export of goods recorded RMB 2069.3 billion and the import recorded RMB 1496.8 billion, resulting in a surplus of RMB 572.4 billion. The export of services recorded RMB 230.8 billion and the import recorded RMB 383.0 billion, resulting in a deficit of RMB 152.2 billion. In terms of the major items, the export and import of travel, transport, other business services, telecommunications, computer and information services registered RMB 193.0 billion, RMB 182.2 billion, RMB 94.9 billion and RMB 60.1 billion respectively. In the US dollar terms, in August 2024, the export and import of China’s international trade in goods and services were USD 322.4 billion and USD 263.5 billion respectively, with a surplus of USD 58.9 billion.(End) International Trade in Goods and Services of China August 2024 Item In 100 million of RMB In 100 million of USD Goods and services 4203 589 Credit 23001 3224 Debit -18799 -2635 1. Goods 5724 802 Credit 20693 2901 Debit -14968 -2098 2. Services -1522 -213 Credit 2308 324 Debit -3830 -537 2.1Manufacturing services on physical inputs owned by others 66 9 Credit 74 10 Debit -8 -1 2.2Maintenance and repair services n.i.e 26 4 Credit 68 9 Debit -42 -6 2.3Transport -194 -27 Credit 814 114 Debit -1008 -141 2.4Travel -1434 -201 Credit 248 35 Debit -1682 -236 2.5Construction 31 4 Credit 80 11 Debit -49 -7 2.6Insurance and pension services -59 -8 Credit 18 3 Debit -77 -11 2.7Financial services 4 0 Credit 23 3 Debit -20 -3 2.8Charges for the use of intellectual property -238 -33 Credit 41 6 Debit -279 -39 2.9Telecommunications, computer and information services 90 13 Credit 345 48 Debit -256 -36 2.10Other business services 214 30 Credit 582 82 Debit -367 -52 2.11Personal, cultural, and recreational services -20 -3 Credit 8 1 Debit -27 -4 2.12Government goods and services n.i.e -9 -1 Credit 7 1 Debit -16 -2 Notes: 1. The international trade in goods and services in this table refers to the transactions between residents and non-residents, based on the same standard as that for BOP statement. The monthly data are preliminary and may be inconsistent with the quarterly data in the BOP statement. 2. The data on international trade in goods and services are prepared in USD, and the RMB data for the current month is derived by converting the USD data at the monthly average central parity rate of the RMB against the USD. 3. This table employs rounded-off numbers. Definition of Indicators: Goods and Services: refers to the trade in goods and services between residents and non-residents, which is based on the same standard as that for the BOP statement. 1. Goods: refers to transactions in goods whereby the economic ownership is transferred between the Chinese residents and non-residents. The credit side records export of goods, while the debit side records import of goods. The data of goods account are mainly from the customs statistics of imports and exports, but differ from the statistics of the customs mainly in the following aspects: first, the goods in the BOP statement only reflect the goods whose ownership has been transferred (e.g. goods under the trade modes such as general trade and processing trade with imported materials), while the goods whose ownership is not transferred (e.g. manufacturing services with supplied materials or with exported materials) are included in the statistics of trade in services instead of the statistics of trade in goods; second, as required by the BOP statistics, the goods imported and exported are valued on the FOB basis, but as required by the customs, the goods exported are valued on the FOB basis, whereas goods imported are on the CIF basis. Therefore, for the purpose of the BOP statistics, the international transport and insurance premiums are taken out from the value of imported goods and included in the trade in services; and third, the data on net export of goods in merchanting which are not included in the customs statistics are supplemented. 2. Services: includes manufacturing services on physical inputs owned by others, maintenance and repair services n.i.e, transport, travel, construction, insurance and pension services, financial services, charges for the use of intellectual property, telecommunications, computer and information services, other business services, personal, cultural and recreational services, and government goods and services n.i.e. The credit side records services supplied, while the debit side records services received. 2.1 Manufacturing services on physical owned by others: processor only provides processing, assembly, packaging and other services and charges service fee from the owner, while the ownership of the goods is not transferred between the owner and the processor. The credit side records the manufacturing services supplied by the Chinese residents on physical inputs owned by non-residents, and vice versa for debit side. 2.2 Maintenance and repair services: refer to the maintenance and repair services supplied by residents to non-residents or vice versa on goods and equipment (such as vessel, aircraft, and other transportation facility) owned by the receiving party. The credit side records the maintenance and repair services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.3 Transport: refers to the process of transporting people and goods from one place to another, and the relevant supporting and auxiliary services, as well as postal and delivery services. The credit side records the international transport, postal and delivery services supplied by residents to non-residents, and vice versa for debit side. 2.4 Travel: refers to goods consumed and services purchased by travelers in various economies as non-residents. The credit side records the goods and services provided by the Chinese residents to non-residents who have stayed in China for less than one year, as well as non-residents studying abroad and seeking medical treatment for indefinite period of stay. The debit side records the goods and services purchased by the Chinese residents when traveling, studying or seeking medical services abroad from non-residents. 2.5 Construction services: refer to the establishment, renovation, maintenance or expansion of fixed assets in the form of buildings, land improvement, roads, bridges and dams and other engineering buildings of engineering nature, relevant installation, assembly, painting, pipeline construction, demolition and project management,as well as site preparation, measurement and blasting and other special services. The credit side records the construction services provided by the Chinese residents outside the economic territory. The debit side records the construction services received by the Chinese residents in the Chinese economic territory from non-residents. 2.6 Insurance and pension services: refers to various insurance services and commission to agents related with insurance transaction. The credit side records the life insurance and annuity, non-lifeinsurance, reinsurance, standardized guarantee services and relevant supporting services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.7 Financial services: refer to financial intermediation and supporting services, excluding those covered by insurance and pension services. The credit side records the financial intermediation and supporting services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.8 Charges for the use of intellectual property: refer to licensed use of intangible, non-productive/non-financial assets and exclusive rights between residents and non-residents and the licensed use of existing original works or prototypes. The credit side records the intellectual property-related services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.9 Telecommunications, computer and information services: refer tocommunications services between residents and non-residents and transactions of services related to computer data and news, excluding commercial services delivered via telephone, computer and Internet. The credit side records the telecommunications, computer and information services supplied by residents to non-residents, and vice versa for debit side. 2.10 Other business services: refer to other types of services between residents and non-residents, including research and development services, professional and management consulting services, technical and trade-related services. The credit side records the other business services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.11 Personal, cultural and recreational services: refer to transactions of personal, cultural and recreational services between residents and non-residents, including audiovisual and related services (films, radio, television programs and music recordings) and other personal, cultural and recreational services (health, education, etc.). The credit side records the related services supplied by the Chinese residents to non-residents, and vice versa for debit side. 2.12 Government goods and services n.i.e: refer to various goods and services provided and purchased by governments and international organizations not included in other categories of goods and services. The credit side records the goods and services not included elsewhere and supplied by the Chinese residents to non-residents, and vice versa for debit side. 2024-09-27/en/2024/0927/2233.html