Home / Knowledge / News / Textiles / China's central bank weakens yuan to 5-year low
China's central bank weakens yuan to 5-year low
27
Jun '16
The People's Bank of China (PBoC), the country's central bank, has weakened the currency by adjusting the most since last August. The bank has set the reference rate 0.91 per cent weaker at 6.6375 a dollar, a five-and-half-year low.

This is the largest fall since the PBoC devalued yuan by nearly five per cent over a week last year.

Post June 27, 2016 fix, the yuan is now at its lowest level since December 23, 2010.

The renminbi adjustment has come in the midst of dollar's surge due to global market turmoil following UK's vote to leave the 28-member EU. Both the British pound and the euro have tumbled post the UK referendum.

In recent months, PBoC has adopted a predictable policy and it only allows the yuan to rise or fall two per cent on either side of the daily fix.

Last week, PBoC governor Zhou Xiaochuan said that a more flexible yuan is vital for China's development and reforms, and hence, the monetary policy will be adjusted “in a dynamic way” to meet those goals.

Analysts expect the yuan to depreciate to 6.7 per dollar in the coming months, as non-dollar currencies continue to weaken following the June 24 referendum. (RKS)

Fibre2Fashion News Desk – India

Must ReadView All

Union MSME minister Kalraj Mishra

Textiles | On 1st Oct 2016

MSME policy announcement likely in October

The MSME policy is likely to be launched in October, according to...

Textiles | On 1st Oct 2016

GST Council approves rules on payments & returns

The second meeting of the GST Council, headed by Union finance...

Bangladesh’s WTO ambassador Shameem Ahsan (right) submitting his country’s TFA instrument of acceptance to WTO director-general Roberto Azevêdo. Courtesy: WTO

Textiles | On 1st Oct 2016

Bangladesh ratifies WTO’s Trade Facilitation Agreement

Bangladesh has ratified the Trade Facilitation Agreement (TFA),...

Interviews View All

Sanjay Yagnik
Maa Tex Speciality

Vasanth Kumar
Max Fashion India

Saket Garg
Garg Corporation

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
September 2016

September 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


Advanced Search