China now 5th largest gold holder

China earned $82.5 billion from nearly $2 trillion in foreign exchange reserves last year, and is now the fifth largest holder of gold, the State Administration of Foreign Exchange (SAFE) said on Friday.

Hu Xiaolian, head of SAFE, said the $82.5 billion return was an increase of 8 percent on the year before, and dismissed foreign media reports that China had lost "tens of billions of dollars" on the value of its reserves during the economic crisis.

"Not only has China managed to keep its foreign exchange reserves secure and in liquid investments, but it has also made a profit," she said.