Renminbi Currency Value

Renminbi currency value is a issue which is now at the forefront in world economic circles. Some have described it as a trade tension.The emergence of China as a growing economic power due to its vast population, resources, economic reforms and industrialization. Its official currency Renminbi which is is classified as a fixed exchange rate to a basket of currencies is drawing attention or scrutiny from other western industrialized nations which have freely floated currency and has become a source of trade friction. Its chief protagonist is the United States who have labelled the persistent fixed rate as making Chinese goods unfairly competitive and cheaper, slowing the recovery of the United States employment and economic growth.
Some have argued with the current economic conditions, the value of the Renminbi should appreciate from 20 to 40 percent against the US Dollar.