China’s forex reserve falls to six-year low in January

China’s foreign exchange reserve fell to under the psychologically important $3 trillion mark as it hit a six-year low in January, officials said Tuesday.

Forex reserves fell to $2.9982 trillion, down from about $3.01 trillion in December, China’s State Administration of Foreign Exchange said, citing figures from the central bank.

China’s forex reserves have been falling for seven consecutive months, reaching the lowest levels since February 2011. Since the reserve’s peak in June 2014, Chinese authorities have used up the equivalent of about $1 trillion.

The fall in the reserves shows continued capital outflow despite the government’s efforts to control it and stabilize the Yuan.

Source: GNA