China should tap reserves to buy gold

A Bank of China official was quoted on Monday 27 March as saying that China should use part of its foreign exchange reserves to buy gold.

"China should appropriately reduce the proportion of dollars in its foreign exchange reserves while increasing the proportion of currencies such as the euro," the Financial News quoted Wang Yuanlong, a director at Bank of China's Australian operations, as saying.

"We can use part of the foreign exchange reserves to buy gold, which would help make the reserve