The yuan dropped to the lowest level since the summer of 2011

The yuan dropped to the lowest level since the summer of 2011


The people’s Bank of China set the rate of the national currency to the U.S. dollar to 6,4495 yuan per dollar. Thus, the Chinese currency depreciated by 137 points.

MOSCOW, Dec 14. The people’s Bank of China on Monday lowered its yuan exchange rate against the US dollar to 6,4495 yuan per dollar, said in a statement on the website of the Chinese foreign exchange trade system (CFETS).

Thus, the Chinese currency depreciated by 137 points, or 0.2% — to the level of July 2011. The weakening of the yuan began in the summer of 2014, the sharpest fall occurred in August 2015 — the yuan within three days fell by 2.813 points, or 4.6%.

The Central parity rate of the yuan against the dollar is based on the weighted average price offered by market makers before the opening of the interbank market each business day.

The Chinese currency is long enough to stay stable at around 8.3 yuan per dollar until the summer of 2005 was beginning to strengthen. Since the autumn of 2008 the yuan around the year kept at 6.8 — and in September 2009 started to increase again. The peak was in January 2014, when the dollar was about 6.0 yuan.

The IMF Executive Board on 30 November decided from October 1, 2016 to include the yuan in the SDR basket, including dollar, Euro, pound sterling and yen. The Fund’s decision coincided with the expectations of international analysts and experts who have long talked about the need for recognition of the role of China in global trade.