Comments from the Chinese State Administration of Foreign Exchange
- China has the ability to handle capital flow impact
- Capital outflows in 2015 were due to domestic banks and firms increasing offshore forex asset holdings (Righto ;-) )
- Expects a current account surplus in 2016
- Expects capital and financial account deficit in 2016
- China's FX reserves remain sufficient
The comments come after they eased the QFII upper limit earlier today allowing easier rules on foreign outflows
