Foreign exchange reserves of the People's Republic of China

Foreign Exchange Reserves of the People’s Republic of China are money that the country has saved up and kept in a special bank account so it can use it if needed. It’s like saving up your allowance in a piggy bank, so you can use it if you need something special later. The money in the foreign exchange reserves of China is from trade with other countries - when China sells something to other countries or invests money in another country, it gets paid in the foreign currency (like dollars or euros), and that money is put into the special bank account. This money can then be used to buy things from other countries if China needs to, or it can be used to protect its own currency if it ever becomes too expensive or weak.