PBOC Raises Foreign‑Exchange Reserve Ratio to 6% for First Time in Five Years to Limit Yuan Strength

PBOC aims to curb yuan appreciation and protect against economic headwinds

The higher reserve ratio aims to strengthen foreign‑exchange liquidity management for financial institutions, according to the People’s Bank of China. (Photo by Tomoki Mera)

KENTARO SHIOZAKI

November 16, 2026 06:51 JST

BEIJING — The People’s Bank of China raised the foreign‑exchange reserve requirement ratio for financial institutions to 6% from 4% on Sunday, aiming to curb yuan appreciation that could dampen exports.

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