China's forex reserves rise to six-month high

China's foreign exchange reserves rose to a six-month high of nearly $3.11 trillion by the end of December, supported by stronger exports and stable capital inflows amid the financial opening up , according to data released by the foreign exchange regulator on Tuesday.

The foreign exchange reserves increased by 1.1 percent over the last year, and they were up by $12.3 billion in a single month in December, which suggested a general supply-demand equilibrium in the foreign exchange market, said the State Administration of Foreign Exchange.

The weaker US dollar index influenced by the easing of monetary policy in large economies, and price drops of major countries' bonds have changed the value of foreign assets reserved by the Chinese government, a statement on the SAFE's website said.

Although global political and economic uncertainties are rising, China's monetary authority remained optimistic about stable foreign exchange reserves in the future, supported by the economic growth within a reasonable range, SAFE's spokeswoman Wang Chunying said on Tuesday.

Foreign exchange reserves usually refer to assets denominated in foreign exchange, including cash, foreign bank deposits and foreign securities. The reserves can be used to stabilize exchange rate and repay foreign debts.