China's foreign assets surge 19pc
Beijing, May 30, 2011
China's offshore financial assets jumped 19 percent on an annual basis to $4.126 trillion at the end of 2010, of which 71 percent are held in reserves, the State Administration of Foreign Exchange (SAFE) said on Monday.
According to China's balance sheet of foreign exchange assets and liabilities, otherwise known as China's International Investment Position, China's portfolio investment, made up of stocks and bonds, rose 6 percent in 2010 to $257.1 billion, or 6 percent of total assets.
China's total liabilities to foreign investors surged 20 percent to $2.3354 trillion at the end of 2010, of which 62.3 percent were in the form of foreign direct investment.
The expanding balance sheet is a result of China's increased forays into international markets. Data showed that China only started buying stocks in its portfolio investment in 2006, after which its equity investment surged. - Reuters