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China doesn't restrict forex sales to individuals: regulator

(Xinhua) Updated: 2016-01-14 10:16

China doesn't restrict forex sales to individuals: regulator

A $100 banknote is placed next to 100 yuan banknotes in this October 16, 2010 file picture illustration taken in Beijing. [Photo/Agencies]

BEIJING -- The State Administration of Foreign Exchange (SAFE) said Wednesday it does not limit foreign currency sales to individuals, although China faces dropping forex reserves.

SAFE denied media reports that Chinese banks put restrictions on foreign currency sales as many people are buying the US dollar, which has been appreciating against the yuan.

As usual, everyone with an ID card can freely buy foreign currency worth $50,000 every year from Chinese banks, according to SAFE, and those with proper reasons can buy more.

China's foreign exchange reserves fell by $107.9 billion in December to 3.33 trillion at year end, the lowest level in more than three years.

The December decline, the sharpest monthly fall on record, was partly due to an interest rate hike last month by the US Federal Reserve and possible future rises as capital flowed out of China for higher returns.

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