Why does China accumulate large amounts of Foreign Currency Reserves?

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due increase in exports.it second in world after germany produce goods world. china has biggest domestic consumers, low income. per capita income of country ranked 99th in world still. grow,it has export , export. uses biggest dollar reserves in world fight against fixed exchange rate highly undervalued. , makes exports cheaper,and increase reserves more. more reserves not mean all. inflation in china high. has been push of wage increase in every corner. , make growth rate lower 2 digits 2 decade under 5% now. has buy , invest in foreign countries without concrete experiences. against international community such investment in myanmar economic sanction west, or support against civil war in africa gain more energy , oil. , provokes conflicts in south china see gain natural gas. high reserves make china feel more secure.but in fact,it dangerous.

how benefit china accumulate large foreign currency reserves?


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