In 2011, China recorded $3.1 billion of volatile cross-border capital outflows, or so-called "hot money", compared with an inflow of $35.5 billion in 2010, said the State Administration of Foreign Exchange (SAFE).

China experienced massive cross-border capital inflows in the first half of 2011, driven by expectations for a stronger yuan and interest rate differences between China and other developed economies. But the trend was reversed since September 2011 amid the liquidity crunch in overseas markets and weakened expectations for yuan appreciation.

The SAFE said fundamental factors will continue to support a surplus of China's international balance of payment, but the country may experience fewer cross-border capital inflows and greater volatility due to a complicated international financial environment.