ABSTRACT
Before 1978, China’s internal implementation of a highly centralized planned economy, less involved in international economic exchanges. Relatively limited scale is China’s foreign exchange reserves. Since the reform and opening up, China’s rapid economic development, openness continues to increase. In the context of economic and financial globalization, the international balance of payments situation has undergone great change in our country. With the influx of foreign trade volume increased and foreign capital, makes a huge balance of payments surplus faster pace of accumulation of foreign exchange reserves. 1980, China’s foreign exchange reserves of only $ 2.26 billion, to 1981, foreign exchange reserves amounted to 118.9, the growth rate reached 429%. Subsequent annual foreign exchange reserves also increased steadily. The twenty-first century, China’s foreign exchange reserves appear unusual growth. In 2001, foreign
1 INTRODUCTION
China’s foreign exchange reserves rapid growth after 2000, China’s foreign exchange reserves exceeded $ 100 billion for the first time in November 1996; five years later, this figure was doubled to $ 200 billion. In the end of February 2006, the first time China surpassed Japan, ranking first in the world; October of the same year, China’s foreign exchange reserves exceeded $ 1 trillion mark for the first time. In June 2009, the foreign exchange reserves exceeded $ 2 trillion since then less than a year, foreign exchange reserves increased to $ 3,000,000,000,000, a growth rate as high as 50%, at the end of 2010, the foreign exchange reserves of U.S. $ 28,437 million, an increase of 18.7%; the end of 2011, the country’s foreign exchange reserves of U.S. $ 31,811 million (see Fig. 1), foreign exchange reserves are still among the first in the world. Such a huge foreign exchange reserves means that China has plenty of international payments.
