From Reuters via the Washington Post (link)
China will push reforms to make the yuan more responsive to market forces as part of efforts to rebalance the economy, the head of the State Administration of Foreign Exchange said in remarks published on Monday.
China’s swelling balance of payments surplus in recent years had made it harder for the central bank to control money supply, Hu Xiaolian said in an article published in the latest edition of Qiushi magazine, a Communist Party mouthpiece.
“We will further improve the yuan exchange rate formation mechanism and constantly make the exchange rate more responsive to market supply and demand,” said Hu, who is also a deputy governor at the central bank.
