Millennium Post

China wants yuan in IMF reserve currency basket

China is in talks with the International Monetary Fund for the Washington-based institution to add the yuan to its basket of reserve

currencies, a top banking official said on Thursday as Beijing seeks a greater global role for the unit.
It hopes the yuan will become part of the IMF's "special drawing rights" (SDR) assets "in the foreseeable future", said vice central bank governor Yi Gang.

At present, SDRs are made up of only the US dollar, the euro, the Japanese yen and the British pound.

But Yi said China's rise to become the world's second-largest economy had made the yuan, also known as the renminbi, the world's second largest trade financing currency and sixth most widely used transaction currency.

Including the yuan in SDRs will "undoubtedly" make the IMF's unit more "representative" of the global economic landscape, said Yi, who is also head of the State Administration of Foreign Exchange.
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