The balance sheet released in August 20 17 shows that at present, China's central bank has attacked and issued about 30 trillion yuan of negotiable currency. It shows that the total amount of base currency printed in China is 30 trillion, followed by base currency. But among them, about 2 1.5 trillion is foreign exchange. What is foreign exchange? That is, the central bank will issue the corresponding RMB 6.67 at the exchange rate when it enters the domestic US dollar 1. As can be seen from the balance sheet, foreign exchange accounts for 210.5 trillion, which is the base currency, but this 210.5 trillion base currency is fixed in the central bank account and cannot be used for other purposes.

To put it bluntly, foreign currency cannot be circulated in China, and RMB cannot be circulated abroad. The central bank should reserve 210.5 trillion RMB, exchange foreign currency for RMB, and exchange RMB that needs to go abroad in China for foreign currency. Therefore, the actual currency in circulation in China is 30-2 1.5 = 8.5 trillion RMB!

However, we often see in the media that the balance of RMB deposits in major banks across the country has reached 150 trillion RMB.