China’s foreign exchange reserves totaled $3.2853 trillion at the end of May 2025, marking a 0.11% increase from the previous month, according to data released by the State Administration of Foreign Exchange (SAFE) on Saturday.
The US Dollar Index saw minor fluctuations in May due to fiscal and monetary policies as well as economic growth expectations in major economies, while global financial asset prices exhibited a mixed trend. SAFE attributed the rise in reserves to the combined effects of exchange rate movements and changes in asset valuations.
Beyond short-term market influences, SAFE highlighted that China’s economic expansion remains on a positive path, with continuous improvements in economic quality, providing a solid foundation for stabilizing the scale of foreign exchange reserves.
This marks the fifth consecutive monthly increase in China’s forex reserves this year. Media outlet eastmoney.com reported the following monthly gains: 6.6billioninJanuary,18.2 billion in February, 13.441billioninMarch,41 billion in April, and $3.6 billion in May.
In an interview with the Global Times, Zhu Keli, founding director of the China Institute of New Economy, noted that despite the complex and evolving global trade landscape, China’s steady growth in forex reserves reflects an effective response to external challenges. He emphasized that domestic economic fundamentals remain the key pillar of support, boosting investor confidence and allowing greater flexibility in monetary policy.
Meanwhile, the People’s Bank of China (PBOC) continued to expand its gold reserves. Data released on Saturday showed that gold holdings reached 73.83 million ounces by the end of May, up 60,000 ounces from 73.77 million ounces in April.
This marks the seventh straight month of increased gold reserves by the central bank.
