China's foreign exchange market remained generally stable in March despite global financial market volatility triggered by geopolitical conflicts, with balanced supply and demand and steady market expectations, according to official data released on Wednesday. Foreign exchange settlements by banks totaled 273.6 billion U.S. dollars in March, and sales came in at 257.6 billion U.S. dollars, resulting in a surplus of 16 billion U.S. dollars, according to the State Administration of Foreign Exchange.
The surplus was down 63 percent from February, said Li Bin, a spokesman for the administration.
He noted that market entities including enterprises showed rational trading patterns, with both settlement and purchase rates rising steadily from the previous month.
The Chinese foreign exchange market recorded transactions worth 4.4 trillion U.S. dollars in March, a year-on-year increase of 16 percent, while cross-border receipts and payments by non-banking sectors totaled 1.7 trillion U.S. dollars, a year-on-year growth of 26 percent, the administration said.
In March, cross-border receipts and payments by non-banking sectors totaled 823.9 billion U.S. dollars and 855.9 billion U.S. dollars, respectively, the administration said.
By major channel, trade in goods maintained net inflows, direct investment remained relatively stable, while securities investment saw some fluctuations due to changes in international markets but has gradually stabilized since April, according to Li.
Overall, China's economy got off to a good start this year, with foreign-related economic activities developing soundly, said Li, highlighting overall balance in forex supply and demand as well as stable market expectations.
Forex market remains stable in March despite external shocks
