In the past few years, China has slowly grown from its humble beginnings to become an economic powerhouse of the world. China has in fact become the world’s second largest economy, superseding the Gross National Product of Japan and with the largest foreign currency reserve of more than $1.4 trillion, some of which is held in gold. Gold prices may have dropped drastically earlier this year, but in the eyes of Chinese consumers, this prized metal still has an irreplaceable value. Statistics have shown that China has leaped over India to become the world’s top gold consumers. With a dazzling amount of 798 tonnes of gold purchased, China has outcompeted India and now prides itself as the world’s top gold holder. Gold is among the top financial assets, alongside stocks and real estate property, as favourites for Chinese investors. China, what is now considered one of the most powerful countries despite its status as a developing nation, has showed strong signs that they are capable of becoming the world’s largest economy in decades to come.
Sources:
http://money.cnn.com/2013/11/15/news/economy/china-gold/index.html?hpt=ibu_c2