China hails IMF’s inclusion of yuan in reserve currency basket

China on Tuesday welcomed the IMF’s decision to include yuan as its fifth reserve currency but dismissed concerns over depreciation amid economic slowdown in the world’s second largest economy. Including yuan in the Special Drawing Right (SDR) basket as the fifth international legal tender after the US dollar, the euro, the British pound and the Japanese yen, shows the IMF’s recognition of China’s economic development and reform achievements, China’s central bank - the People’s Bank  said. 

“The joining of RMB (the Chinese renminbi) in the SDR basket means the international community has greater expectations on China to play an active role in the world economic and financial arena,” it said in a statement. Giving a stamp of approval of its being a global economic power, IMF on Monday recognised Chinese Yuan as a reserve currency.