When RMB becomes part of the SDR basket…

A non-event for the market.

And yet good news for the pro-reform camp as it means lots of steps in opening up the capital account and loosening the exchange rate control are irreversible. It could also be good news for the pro-growth camp who may take this as a sign of growing importance of China in the world stage – another boost of national pride – which then can be used to justified the pro-growth policy.

Advertisements

Leave a comment

Filed under Uncategorized

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s