03.12.2015 - Sorry China, The Yuan Still Has Ways To Go Before Replacing The Dollar
There is growing expectation that the International Monetary Fund’s inclusion of China’s Renmimbi (RMB) in its basket of reserve used by the central banks of IMF members for Special Drawing Rights (SDR) represents a watershed moment in global finance and even China’s emergence as an economic superpower. Such speculation is seductive but incorrect. The reality is much less than that. The RMB is a long way away from replacing the U.S. dollar as a genuine global currency, and is not yet even close to being a match for the Euro, British pound or Japanese Yen for that matter. The decision by the IMF will offer China some of the global prestige that it craves, but little by way of any real avenues of financial leverage or power that the country did not have before...............................................Full Article: Source
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