Date of publication: 26.05.2015 | 17:25 GMT | Money and business
IMF: the exchange rate of the yuan is no longer undervalued Reuters Carlos Barria International Monetary: yuan exchange rate is no longer undervalued
The IMF stressed that the yuan's exchange rate is no longer undervalued, thereby altering the old position in this regard, while Beijing seeks to accelerate the internationalization of its currency.
The IMF said in a report on the world's second largest economy on Tuesday, May 26 / May that the actual and the significant improvement recorded by the yuan over the past year to raise its exchange rate to a level which no longer is estimated at less than its value.
The fund added that the devaluation of the yuan was in the past an important factor in cases of dysfunction but it is no longer the case today, referring to the need to continue to correct the exchange rate according to the evolution of the market and especially the foundations of Chinese production capacity.
The big trading partners of China, led by the United States accuse Beijing to cut the price of its currency deliberately in order to facilitate the export of their goods as well as justify the huge gap in the trade deficit between the giant Asian country, which occupies the first place in manufactured goods, and Western partners.
Scored the yuan exchange rate rose slightly last year, compared with already weak dollar, the Fund welcomed this improvement, calling the Chinese authorities to speed up procedures to ensure greater softness in the yuan's exchange.
In fact, can not the Chinese currency to fluctuate against the dollar, but in the framework of the sidelines of China's central bank determined on a daily basis.
Beijing is seeking to more openness in the system, but stresses its desire to avoid capital flow uncontrolled.
At the same time, China is seeking to promote the use of its currency in the world to grant quotas direct yuan-denominated investments and the creation of rooms to compensate abroad.
Beijing hopes especially in the yuan will soon be included in the currencies that make up the SDR "basket unit of account" to the International Monetary Fund, and these currencies are currently dollar, euro and sterling yen and the pound.
The system "Swift" Banking reported in January that the yuan rose to fifth place with the most widely used currency in international payments while the yuan was in thirteenth place for these currencies in January 2013.
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