The International Monetary Fund on Monday is adding the Chinese yuan to the basket of elite currencies comprising its lending reserve, marking a milestone in the country’s ascendancy as a global economic power.
Many China watchers say the IMF’s decision is in large part a political one designed to encourage stronger economic overhauls in the world’s No. 2 economy.
“It’s a milestone in a journey that will include certainly more reforms,” IMF Managing Director Christine Lagarde said after the board approved the yuan’s inclusion.
