China¡¯s foreign exchange reserve to top $1 trillion

China¡¯s foreign exchange reserve to top $1 trillion

Chinanews, Beijing, October 24 ¨C According to the People¡¯s Bank of China, the country has a foreign exchange reserve of $987.9 billion, ready to top $1 trillion with an average monthly growth of $20 billion.

The great leap of China¡¯s trade surplus contributes a lot to the rapid growth of its foreign exchange reserve. Statistics show that China enjoyed a $32 billion trade surplus in 2004 (China¡¯s foreign reserve then was only $800 billion), and the figure soared to $101.9 billion in 2005. It is estimated that there will be a $150 billion trade surplus in 2006.

The great foreign exchange reserve actually guarantees financial security in the country, and strengthens investors¡¯ confidence in China¡¯s economy and its influence in the world as well.