(ECNS) - Despite the challenging external environment, the renminbi has remained broadly stable with two-way flexibility, a deputy governor of the People's Bank of China said at a press briefing in Beijing on Wednesday.
The renminbi exchange rate is expected to continue fluctuating in both directions, said Zou Lan, citing geopolitical risks and uncertainty over monetary policy in major economies as key external factors.
By the end of June, the yuan had appreciated 3% against the U.S. dollar from the end of 2025.
The China Foreign Exchange Trade System RMB Index, which tracks the currency against a basket of currencies, rose 4.7% over the same period. The yuan was trading at around 6.8 per U.S. dollar, near the midpoint of its range in recent years, according to Zou.
Domestically, Zou pointed to improving economic fundamentals, greater resilience in the foreign exchange market and companies’ growing ability to manage currency risks.
The corporate foreign exchange hedging ratio rose to 34.4% in the first five months, 4.5 percentage points higher than in 2025, while about 30% of cross-border trade was settled in yuan.
Zou said the central bank would continue to implement a moderately loose monetary policy and allow market forces to play a decisive role in setting the exchange rate, while keeping the yuan basically stable at a reasonable and balanced level.
(By Helen Mo, intern Yang Hongran)
京公网安备 11010202009201号