IMF says yuan ‘no longer undervalued’
The Chinese currency, known as the yuan or renminbi, is “no longer undervalued”, the International Monetary Fund said in Beijing.
The IMF had previously labeled the yuan as “modestly undervalued”, despite the currency’s gradual appreciation since a landmark 2005 revaluation. The yuan has gained sharply against most non-dollar currencies in recent months. Even against the strong greenback, the yuan rose 0.6 percent in the past 12 months.
The IMF declaration came as China is lobbying for the yuan to be included in the IMF’s Special Drawing Rights basket of reserve currencies before the fund makes a decision in October. (Photo 5)