24.06.2015 - How China’s race to reserve currency status will rock markets
The inclusion of the Chinese renminbi into the basket of IMF’s reserve currencies will radically transform global markets and developing countries’ central banks policies. That's according to Ashmore’s head of research Jan Dehn, who shared his views during a press roundtable on Tuesday. Dehn said China would no longer need its foreign exchange reserves once its reaches global reserve status. He compared it to the US, which currently has hardly any foreign exchange reserves. ‘This means that China's foreign exchange reserves, nearly $4 trillion, will become a sovereign wealth fund, which is not going to be invested in US dollar, but in global infrastructure, private equity and alternatives.’..............................................Full Article: Source
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