State Administration of Foreign Exchange: Cross-border Capital Resumes Net Inflow in the First Three Quarters

On October 22, the State Council Information Office held a press conference to announce the foreign exchange receipt and payment situation for the first three quarters of 2024. According to the data released, from January to September this year, banks handled a total of $5.2594 trillion in foreign-related receipts on behalf of their clients, while the total amount of foreign payments was $5.2566 trillion, resulting in a small surplus of $2.8 billion.

During the first three quarters, there was a deficit of $121.3 billion in bank settlement and sale of foreign exchange. In response to this, Deputy Director of the State Administration of Foreign Exchange, Li Hongyan, explained that this deficit was mainly due to the increase in the deficit in the second quarter; however, by the third quarter, the market regained balance, and there was even a surplus in September, thanks to the increase in the amount of settlement and the stability in the amount of sale.

Li Hongyan also emphasized that since the beginning of this year, China's foreign exchange market has shown strong adaptability. Recently, the market situation has been stable, the RMB exchange rate has remained relatively stable, the foreign exchange trading market has shown rationality and order, and the balance of payments has basically remained balanced. Looking forward, China's foreign exchange market has a more solid foundation and conditions, and is expected to continue to operate stably.