China's forex reserve rises by $29.9 billion in August, while the central bank continues to increase gold holdings
Global Times
By Global Times Published: Sep 07, 2025 01:53 PM
As of the end of August, China's foreign exchange reserve stood at $3.32 trillion, an increase of $29.919 billion from a month earlier, marking a growth of 0.91 percent, data released by the State Administration of Foreign Exchange (SAFE) showed on Sunday.
The SAFE said that, in August 2025, influenced by the factors including monetary policy expectations of major economies and macroeconomic data, the US dollar index fell, and global financial asset prices generally rose.
These combined impact on exchange rate conversion and asset price change led to an increase in the scale of China's foreign exchange reserve for the month, the SAFE said.
The administration noted that China's economy has been progressing steadily with considerable resilience and vitality, providing support for maintaining the basic stability of the foreign exchange reserve.
Wang Qing, chief macroeconomic analyst at Golden Credit Rating International, said that, considering various factors, China's foreign exchange reserve is expected to remain largely stable in the near future. Amid increasing fluctuations in the external environment, a moderately ample reserve scale will provide support for maintaining the yuan's exchange rate at a reasonable and balanced level, while it also will serve as a stabilizing anchor to withstand potential external shocks, the Paper.cn reported.
Data released on the same day showed China's gold reserve stood at 74.02 million ounces at the end of August, an increase of 0.06 million ounces from 73.96 million ounces at the end of July, meaning that the People's Bank of China, the central bank, has increased its gold holdings for the 10th consecutive month, according to the Paper.cn.
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