A report from a leading Beijing university has revived discussions about the “optimal size” of China’s foreign exchange reserves – with a focus on US Treasuries – calling for its world-leading forex holdings to be trimmed to a “moderately ample” level amid the drive to promote further international use of the yuan.
The report, written by Sun Jiaqi from Renmin University’s International Monetary Institute and issued on Friday, examined possible ways forward and their implications for China, which…