BD IMF approves Chinese yuan as major world currency IMF, 중국 위안화 기축통화에 편입… 3

The International Monetary Fund has giventhe greenlight to include China′s currency, the yuan in its basket of reserve currencies.

Joining this elite club marks an important milestone for policymakers in Beijing,.

But what does it mean for Korea? Arirang News′ Hwang Ji-hye reports.

Starting in October of next year,.

the Chinese yuan will become one of the world′selite currencies.

The IMF on Monday.

added the yuan to itsbasket of reserve currencies,.

a designation known as the Special Drawing Rights, orSDR.

″The addition and the inclusion of the renminbiin the SDR basket of currencies is a recognition of the significant reforms which have beenconducted, of the significant opening up of the Chinese economy, of the financial,more market-driven principles that are being used by the Chinese authorities going forward.

″The IMF uses the reserve basket when providing emergency loans for countries like Greece.

And only four currencies the U.

S.

dollar, the euro, the Japanese yen and the poundare included in the group.

″This is a great step toward making theRMB truly international JUMP CUT and encouraging individuals and organizations of all countriesin the world to hold it as well as invest it.

″ ″And the inclusion brings Korea a step closerto its goal of emerging as an international hub for offshore yuan transactions,.

asthe country marks the one-year anniversary of its direct trading market with the Chinesecurrency.

″ For the past year, the amount of averagedaily transactions of won-yuan direct trading stood at around two-point-two billiondollars.

And that.

matches over a quarter of theamount in won-dollar daily transactions.

Korea′s financial authorities aim to furtherboost the market with a set of new measures.

″The market currently uses a market averagefor the won-to-dollar exchange, and the cross rate for the yuan and dollar,but from next year it will adopt a direct quote between the won and yuan.

″While the yuan′s new status is expected to have a limited impact on the overall Koreaneconomy, in the short term,.

experts predict.

that it will ease risks stemmingfrom possible global currency shocks.

as it diversifies currencies used in trade settlements.

They add.

though.

it will also further raise Korea′s dependence on China an outcomethat could have both negative AND positive effects.

Hwang Ji-hye, Arirang News.

Source: Youtube

BD IMF approves Chinese yuan as major world currency IMF, 중국 위안화 기축통화에 편입... 3

The International Monetary Fund has given the greenlight to include China′s currency, the yuan in its basket of reserve currencies.
Joining this elite club marks an important milestone for policymakers in Beijing,... but what does it mean for Korea?
Arirang News′ Hwang Ji-hye reports.
Starting in October of next year,... the Chinese yuan will become one of the world′s elite currencies.
The IMF on Monday... added the yuan to its basket of reserve currencies,... a designation known as the Special Drawing Rights, or SDR.

″The addition and the inclusion of the renminbi in the SDR basket of currencies is a recognition of the significant reforms which have been conducted, of the significant opening up of the Chinese economy, of the financial, more market-driven principles that are being used by the Chinese authorities going forward.″
The IMF uses the reserve basket when providing emergency loans for countries like Greece... and only four currencies the U.S. dollar, the euro, the Japanese yen and the pound are included in the group.

″This is a great step toward making the RMB truly international JUMP CUT and encouraging individuals and organizations of all countries in the world to hold it as well as invest it.″

″And the inclusion brings Korea a step closer to its goal of emerging as an international hub for offshore yuan transactions,... as the country marks the one-year anniversary of its direct trading market with the Chinese currency.″
For the past year, the amount of average daily transactions of won-yuan direct trading stood at around two-point-two billion dollars.
And that... matches over a quarter of the amount in won-dollar daily transactions.
Korea′s financial authorities aim to further boost the market with a set of new measures.

″The market currently uses a market average for the won-to-dollar exchange, and the cross rate for the yuan and dollar, but from next year it will adopt a direct quote between the won and yuan.″
While the yuan′s new status is expected to have a limited impact on the overall Korean economy, in the short term,... experts predict... that it will ease risks stemming from possible global currency shocks... as it diversifies currencies used in trade settlements.
They add... though... it will also further raise Korea′s dependence on China an outcome that could have both negative AND positive effects.
Hwang Ji-hye, Arirang News.