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RMB's Further Appreciation Is Megatrend

Renminbi's further appreciation is megatrend in the future, but uncertainties will still exist on the way, Wu Xiaoling, vice governor of the People's Bank of China (PBC), the country's central bank, was quoted by the China Securities Journal as saying on Wednesday.

Wu made the remark when attending the signing ceremony of three conventions on banking industry self-discipline.

The appreciation of yuan will follow a zigzag course, because the market and enterprises will be adapted to the appreciation gradually, Wu said.

Wu also promised that the central bank has no plan to raise the float range of Renminbi exchange rate against US dollars this year.

Whether to expand the float range depends on the market endurance capacity, Wu said.

Recently the central bank announced in a circular to raise the float range of Renminbi exchange rate against non-US dollars from previous 1.5 percent to 3 percent.

The float range of yuan's exchange rate against US dollar, which stands at 0.3 percent, remains unchanged.

(Xinhua News Agency October 27, 2005)

No Rise in RMB Exchange Float Range
RMB Rose 2.2 Percent Since Reform
Basket of Currencies Revealed
Exchange Rate Range Adjustment at 'Proper Time'
Yuan Hits Another High
Central Bank Denies Further Yuan Appreciation
Central Bank Dismisses Rate Rumor
RMB Revaluation No Help to US Trade Deficit
Survey: Stable Yuan Is Entrepreneurs' Top Concern
Criticism About Renminbi Refuted
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