A bank worker counts the bill. (File photo/China News Service)
(ECNS) - China has the fundamentals, capabilities and confidence to make sure the exchange rate of the Chinese renminbi, or yuan, will remain basically stable at a reasonable and balanced level, said Pan Gongsheng, head of the State Administration of Foreign Exchange.
Recent downside pressures on the RMB are mainly due to the strengthening US dollar, financial turmoil in emerging economies, and trade frictions, said Pan at a press conference on Friday.
Pan added the RMB is still stable in comparison to the much bigger depreciation of currencies in emerging economies as well as the fluctuation of those of developed countries.
He noted that the RMB’s resilience is due to China's sound economic fundamental, generally controllable financial risks, and a generally stable international balance of payment.
The People's Bank of China and State Administration of Foreign Exchange have in recent years built up experience and policy tools to take targeted measures, said Pan.
