China's capital account deficit continues in Q4

China's capital and financial account remained at a deficit in the fourth quarter of 2012, dragged down by lackluster foreign investment amid the faltering global economic recovery, official data showed Friday.

The capital and financial account shrank to 31.8 billion U.S. dollars from 51.7 billion U.S. dollars in the third quarter, the State Administration of Foreign Exchange (SAFE) said in an online statement.

Meanwhile, the country's current account surplus slid to 65.8 billion U.S. dollars in the October-December period, down from 70.8 billion U.S. dollars in the previous quarter, the regulator said.

In 2012, the world's second-largest economy saw a 213.8 billion-U.S. dollar surplus in the current account and a 117.3 billion-U.S. dollar deficit in the capital and financial account.

Excluding the effects of changes in exchange rates and asset prices, China's international reserve assets gained 34 billion U.S. dollars in the fourth quarter.

Foreign exchange reserves expanded by 34.7 billion U.S. dollars during the period. The country shed 700 million U.S. dollars in reserves in the International Monetary Fund (IMF) and special drawing right (SDR).

In 2012, China amassed international reserve assets totalling 96.5 billion U.S. dollars.