Government and Policy

China may reform yuan exchange rate calculation: PBOC

(Xinhua)
Updated: 2010-07-22 21:28

BEIJING - China may calculate the yuan's exchange rate against a basket of currencies, instead of only against the greenback, a Chinese central bank official said Thursday.

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The People's Bank of China (PBOC), or the central bank, may publish the nominal effective exchange rate on a regular basis, Hu Xiaolian, deputy governor of the PBOC, said in a signed article published on the PBOC website.

The move may change the public's habit of focusing on the yuan's exchange rate against the dollar, Hu said.

There should be various currencies in the effective exchange rate basket to reflect the diversity of China's trade and investment activities, Hu added.