Stock Market Volatility Does Not Affect RMB'S Inclusion In SDR Financial Reform.

IMF: stock market volatility does not affect RMB's incorporation into SDR assessment.

IMF spokesman Rice recently held a regular press conference in Washington, said that China's financial market volatility and whether the renminbi has been included in the basket of currencies SDR.

"Whether the renminbi will be incorporated into the SDR will not be determined on the basis of short-term market fluctuations, because it is not based on short-term market movements."

But at the same time, he stressed that China should actively promote the renminbi to become a

At the same time, financial market reform is a key consideration for IMF.

"IMF has collected some data on China, studied the Chinese market, and exchanged with Chinese officials and some investors.

China's financial reform is an important part of these discussions.

We will focus on China's progress in this field. "

Rice believes that China's financial reform is advancing and the internationalization of RMB is continuing.

Including capital market continuous development to raise equity and

The further development will help improve the efficiency of financial media.

At the moment, IMF's assessment of RMB's inclusion in SDR is in full swing. Rice also told reporters at the press conference that IMF's assessment of SDR's basket currency has progressed well, and the Executive Board of IMF will hold an informal meeting before the end of the month.

The formal board discussion on whether RMB will be included in the SDR will be held later in 2015, probably in November.

Prior to that, Zhu Min, vice president of IMF, had made it clear that IMF would give preliminary reports before the end of the year, but the preliminary report only gave the basic framework, and then needed to make supplementary adjustments, and then the board of directors would choose.

"The assessment time is subject to quality. Strictly speaking, this year is the assessment year of SDR. But considering the particularity and importance of RMB, the time problem will also be flexible.

We will give full consideration to all factors and give full consideration to quality. "

Zhu Min said.

Recently, the sharp fluctuations in China's financial markets since the end of June have triggered speculation among the industry about whether the renminbi can be incorporated into the SDR.

"Although recently

A big drop in the pace of capital account liberalization may become more cautious, but to a large extent, it will continue to push forward, and the renminbi's accession to the SDR should not be affected.

At least we think that the decision making level has not wavered in the intention of putting the renminbi into the basket of SDR currencies.

Wang Tao, chief economist at UBS China, said.

Wang Tao believes that the formal establishment of Asia Investment Bank in late June may further strengthen the willingness of IMF and its member states to keep China in the existing system.

"The October SDR review may agree in principle that the Renminbi should be included.

After that, the central bank will allow the renminbi to depreciate appropriately against the US dollar to offset the impact of the US dollar appreciation. It is estimated that the RMB will reach 6.30 against the US dollar at the end of the year.

But in the long run, UBS forecasts that the central bank will continue to maintain a stable exchange rate against the US dollar and maintain a stable exchange rate expectation in order to promote the internationalization of RMB.

Earlier this month, Blanchard, IMF's former chief economist, said in an interview that "the fall of China's stock market is just an episode, and does not reflect China's fundamentals."

Zhao Yang told the first financial daily that even if there was no stock market turmoil, it might be difficult for the renminbi to join the SDR this year, mainly because the Chinese government and IMF had slightly different understanding of the capital account liberalization and the measurement indicators, and IMF's requirements were more stringent.

But he also stressed: "we do not think the renminbi needs to wait for another 5 years.

IMF is likely to be re examined in 1~2 years, which is similar to the previous statement by MSCI Ming Sheng about whether A shares should be included in the global benchmark index.