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File photo shows Shen Danyang, spokesman of China's Ministry of Commerce. (File photo)

China's Ministry of Commerce says the country is not witnessing any signs of capital flight.

This follows concerns about China's economic slowdown, including declining foreign exchange reserves and capital outflows putting pressure on the Chinese yuan.

Ministry spokesman Shen Danyang says there is no basis for the continued depreciation of the yuan.

"The data of the State Administration of Foreign Exchange indicates that at present China's balance of international payments is still prudent. China's economy and domestic market fundamentals are good. There is no basis for continued depreciation of the yuan. Therefore, there is no so-called intensified capital flight."

Central bank governor Zhou Xiaochuan said on Saturday that the country will not allow speculators to dominate market sentiment regarding its foreign exchange reserves.