China’s funds outstanding for foreign exchange rose 437.36 billion yuan (US$71.36 billion) to 29.07 trillion yuan at the end of January, the largest increase since October last year, according to data released by the People’s Bank of China Wednesday. That marked an increase for the sixth month in a row. The funds are likely to see a similar increase in February and then fall significantly in March as the central bank’s campaign against hot money and the renminbi’s depreciation will slow the inflow of arbitrage funds, China Business News reported Thursday, citing analysts. Meanwhile, country’s current account surplus for January was US$31.86 billion while foreign direct investment was US$10.7 billion, PBoC data showed.
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