A move to include the yuan in the International Monetary Fund's Special Drawing Rights isstill on track, despite sections of the Chinese media saying it had been derailed.
Online Chinese reports started to circulate that the yuan would be denied entry into the SDRbasket of currencies until next year after a Bloomberg article was misinterpreted in translation.
An internal IMF report revealed that a decision on the yuan will go ahead later this year asplanned. But if it is successful, an actual date of inclusion may be extended to September 30, 2016, due to technical reasons.
"The proposed extension, which will be decided by the IMF executive board later this month,would not in any way prejudge the timing, conclusion or outcome of the review," SiddharthTiwari, director of the IMF's Strategy, Policy, and Review Department, said
Wang Tao, chief economist in China at UBS AG, felt that "it was highly likely that the yuan willbe included". But she added: "Through technical reasons, the actual date of inclusion may beextended to September 30, 2016, to give reserve managers time to adjust.
"In fact, the IMF implies there is every likelihood of SDR inclusion – otherwise the technicalpreparation would not be necessary," Wang added.
The Chinese government is seeking to expand the use of the yuan by having it included in theSDR, an international reserve asset that is comprised of four currencies: the dollar, euro,pound and yen. IMF move to include yuan in SDR still on track : the dollar, euro, pound and yen. @foxbusiness @foxnews @loudobbsnews @teamcavuto #IMFnews
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