China says diversifying forex reserves

Currency regulator dismisses reports on slowing US treasury purchases

China is diversifying its foreign exchange reserves in order to safeguard their value, the State Administration of Foreign Exchange, the country's currency regulator, said on Thursday, dismissing media reports that it was halting or reducing its purchases of United States debt.

The country's foreign exchange reserves are expected to remain balanced and stable this year, given the prospects of sound economic growth and the further opening-up of the financial sector, it said.