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MNI INTERVIEW: PBOC Widened Yuan Band, May.....>

PBOC
PBOC: MNI INTERVIEW: PBOC Widened Yuan Band, May Defend Key Level
BEIJING (MNI) - The People's Bank of China is tolerating a wider band for yuan
volatility, but may still defend a key psychological level, an official
researcher told MNI.
"A new yuan exchange rate formation mechanism is emerging, comprising market
forces, a stable currency basket rate and a wide volatility band," said Zhang
Bin, a senior fellow of the China Finance 40 Forum, speaking on the sidelines of
its quarterly Macro Policy Report briefing. He dubbed the new system "the FBB
regime", according to the initials of "floating", "basket" and "band".
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