CCTV9英语新闻：Yi Gang: current reserve is reasonable

The deputy governor of China's central bank, Yi Gang, said in an interview with CCTV that China's foreign exchange reserve is within reasonable range.

 

"Our foreign exchange reserve increased from less than 300 billion US dollars in 2002 to 3.99 trillion dollars in June 2014. It's an accumulation from current account surplus, and foreign investment. It's inevitable that some speculative capital also flew in. And now it's looking for chances to flow out. I think this is within expectations. We say foreign exchange is stored in private investors, which means that enterprises and ordinary people held some assets in the dollar, and they may at the same time pay some debt in the dollar. These are actually all defined as capital outflow. It's estimated by IMF that China's forex reserve should be between 2.7 to 4 trillion dollars. We currently have a reserve of 3.3 trillion dollars, which is within the reasonable range," he said.