China's massive foreign exchange?reserves are
mainly?the result of a sharp surplus increase in goods trade,
according to the latest report from the People's Bank of China.
The hefty rise in goods trade surplus is due to China's
improving manufacturing capabilities and the country's booming
exports supported by the robust global economy, said the report of
the central bank.
China's foreign exchange reserves reached US$1.066 trillion at
the end of 2006.
Surplus in foreign direct investment (FDI) under the capital
account decreased slightly as Chinese enterprises sped up overseas
investment, the report added.
Figures with the Ministry of Commerce showed China's actual use
of FDI totaled US$69.5 billion in 2006, down 4.1 percent from the
previous year.
(Xinhua News Agency February 25, 2007)