China SAFE Data Suggest Elevated FX Inflows

China recorded US$94bn in net FX inflows in January 2026, primarily driven by a robust current account and high trade surplus conversion ratios. Despite foreign selling of RMB bonds, overall net external assets of commercial banks and official reserves increased.

Key Takeaways

• 1.China experienced significant net FX inflows of US$94bn in January 2026, though down from US$128bn in December, suggesting a continued FX settlement rush.
• 2.The current account was the primary driver of inflows, contributing US$65bn, with the goods trade surplus conversion ratio remaining high.
• 3.Official FX reserves rose to US$3,399bn, an increase of US$24bn after adjusting for valuation effects.

Table of Contents

• Bottom line:
• Main points:
• Disclosure Appendix
• Reg AC
• Disclosures

Document Preview

Page 1 of 5

Subscribe for full accessStart Free Trial