IMF Official Says Yuan Nearing Point Where No Longer Undervalued
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The International Monetary Fund may be abandoning its long-held view that the Chinese exchange rate is undervalued as the lender prepares for talks on whether to add the yuan to the ranks of the world’s reserve currencies.
“We are now reaching a point where” the yuan is close to “no longer being undervalued,” Markus Rodlauer, deputy director of IMF’s Asia Pacific Department, said at a briefing in Washington on Friday. There has been “very significant appreciation” of the currency in real effective terms, he said.