China Forex Regulator’s Foreign Funds Seen Topping $1.5 Trillion

  • New book argues for SAFE’s role in sovereign wealth management
  • SAFE head Pan seen in line to become central bank chief

Pan Gongsheng

Photographer: Qilai Shen/Bloomberg
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China’s foreign exchange regulator controls investment funds with overseas assets worth at least $1.5 trillion, some three times larger than those under the country’s flagship sovereign wealth fund.

That’s according to Zoe Zongyuan Liu, the author of Sovereign Funds: How the Communist Party of China Finances Its Global Ambitions. The book argues there should be greater focus on China’s State Administration of Foreign Exchange, or SAFE, in assessments of China’s geo-economic strategy.