Abstract: Since the middle of the 1990s, China's economy has experienced spectacular growth in its exports. It enabled the country to maintain a highly favourable trade balance with the majority of its trading partners as well as substantial foreign exchange reserves. China has been accused by its trading partners of maintaining a depreciated currency in order to keep its exports high while maintaining cost competitiveness for its goods on the world market.
By the middle of 2010, China was under increasing pressure from all sides to revalue its currency in order to reflect the true value of the Yuan in comparison to other currencies. China stayed silent on the subject, but economic analysts predicted that sooner or later it would have to give in to pressure. They added that a currency revaluation might not have an immediate impact.
Keywords: Import, Export, USD, Yuan, Currency Valuation, Exchange Rate Management, Forex, Imports, Exports, Foreign Trade, Forex, Inflation, Trade Deficit, Nominal Effective Exchange Rates, Real Effective Exchange Rates, World Market.
Title: Depreciation of the Renminbi: A Boost to China’s Economy
Author: Arjunsingh G. Thakur
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
Vol. 10, Issue 2, October 2022 - March 2023
Page No: 417-425
Research Publish Journals
Website: www.researchpublish.com
Published Date: 04-March-2023
