China, owner of the worldâÂÂs largest foreign currency reserves, should increase its holdings of precious metals and oil as part of a diversification strategy, a member of the National PeopleâÂÂs Congress said.
The govement should also cut overseas debt holdings and increase equity investments, Yin Zhongqing, vice chairman of the finance committee of the congress, said in Shanghai today at a conference. Foreign reserves, at $2.45 trillion as of end March, may reach $2.8 trillion by the end of the year and the country canâÂÂt afford to let the level rise higher, he said.
