China Sees Capital Account Deficit in Q2

China's capital and financial account registered a deficit in the second quarter, swinging back from a surplus in the first quarter, preliminary data from China's top foreign exchange regulator showed Wednesday.

China ran a deficit of US$1.6 billion in its capital and financial account in the April-June period, compared with a surplus recorded in the January-March period, according to a report from the State Administration of Foreign Exchange (SAFE).

Last year, China registered a deficit in the capital and financial account for the first time since 1999.

In the second quarter, China's current account, which reflects the country's foreign trade with partners, maintained a surplus of US$48.2 billion.

Figures for the first six months show that China's current account surplus reached US$95.7 billion, and the capital and financial account registered a surplus of US$107.8 billion, the SAFE said.

The country's international reserve assets grew by US$203.6 billion in the first half, the SAFE said.