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China FX regulator says cross-border capital flows stabilised in H1

BEIJING, July 20 (Reuters) - China's cross-border capital flows stabilised in the first half of 2017, with foreign exchange supply and demand in the market little changed, the country's forex regulator said on Thursday.

New information disclosure requirements on personal FX purchase this year have effectively curbed illegitimate purchases, the spokeswoman Wang Chunying said in a regular briefing.

She also said that the regulator expects the risks of large-scale capital outflows from China to significantly ease in the future, while the impact of U.S. Federal Reserve's rate hikes on China's cross-border capital flows have diminished.

The improvement in China's economy and business expectations helped stabilise cross-border capital flows in H1, she added.

China's commercial banks sold a net $20.9 billion of foreign exchange in June, compared with a net sale of $17.1 billion in May, the foreign exchange regulator said on Thursday. (Reporting by Elias Glenn and Beijing Monitoring Desk; Editing by Sam Holmes)