Central bank data showed on Wednesday that China's foreign exchange reserves rose more than expected in November, as the dollar weakened against other major currencies.
The country's foreign exchange reserves - the world's largest - rose $65.1 billion to $3.117 trillion last month, compared to $3.10 trillion tipped by a Reuters poll of analysts and $3.052 trillion in October.
The increased in November reserves came due to the weakening dollar and rising prices of global financial assets, according to the State Administration of Foreign Exchange SAFE.
The yuan rose by about 3 per cent against the dollar in November, while the dollar fell 5.1 per cent against a basket of other major currencies last month.
After a sharp decline earlier in the year, China's yuan recovered some ground against the U.S. dollar, which came under pressure after Federal Reserve Chair Jerome Powell said that the pace of U.S. rate hikes could be reversed as soon as December.
China has made sweeping changes to its tough anti-COVID regime since the epidemic began three years ago, loosening rules that curbed the spread of the disease.
The data showed that China held 63.67 million fine troy ounces of gold at the end of November, up from 62.64 million ounces at the end of October, the first change since September 2019.
The value of China's gold reserves increased to $111.65 billion at the end of November from $102.67 billion at the end of October.