The Chinese currency should be included in the International Monetary Fund’s basket of currencies use as a reserve asset by fund members, France has urged, The Wall Street Journal reports. The proposal is aimed at edging the yuan closer to its true market value.
French President Nicolas Sarkozy will ask the IMF to review how to make room for the yuan in its Special Drawing Rights basket. The basket already includes the euro, the yen, the pound sterling and the dollar. Chinese officials are resisting the proposal as they are concerned it could hurt exports.
Click here for the story from The Wall Street Journal.