Summary
China’s currency, the yuan (also known as the renminbi) is being added the IMF’s special drawing rights (SDR). This is a supplementary foreign exchange reserve assets and defined and maintained by the IMF. Dollar, euro, yen and pound are already joined it. IMF acknowledged the advances China has made improve the infrastructure of its financial market. They think the yuan will support the growth and stability of China and the global economy.
However some critics argued this move because the yuan does not fully meet SDR that is freely usable or widely used to settle trade in financial markets.
U.S. republican presidential nominee Donald Trump has said he will make China a currency manipulator.
Opinion
I do not know the world economy but this move was a great shock to me. I have known China’s society gradually grow. Recently I see many Chinese doing some shopping in Tokyo. Always Chinese eats and drinks much in the restaurant at that I work part-time. Surely society advances mean economy developments. However I did not realize it.
Japanese postwar economy advances were helped by big country U.S. but China develop by themselves using their large territory and population. The yen already was gotten ahead by the yuan. I think the future that the yuan become the top currency in the world will come soon.
Japan should take measures against world economy to endure China.