Implode-o-Meter News - China Finds $3 Trillion Just Doesn't Pack the Punch It Used To

The nation's stockpile of foreign exchange reserves plunged by $513 billion, or 13.4 percent, in 2015 to $3.33 trillion as the nation's central bank coped with a weakening yuan and an estimated $843 billion in capital that left China between February and November, the most recent tally available according to data compiled by Bloomberg.
... [and] there are other liabilities that China needs to cover, such as the nation's foreign currency debt to finance and manage imports denominated in overseas currencies. When those factors are taken into account, some $2.8 trillion in reserves may already be spoken for just to cover its liabilities,Â according to Hao Hong, chief China strategist at Bocom International Holdings Co.
"Considering China's foreign debt, trade and exchange rate management, it needs around $3 trillion in foreign exchange reserves to be comfortable." he said.''

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China Finds $3 Trillion Just Doesn't Pack the Punch It Used To