Editing Renminbi (section)

===Managed float===
The renminbi has now moved to a [[Managed float regime|managed floating exchange rate]] based on market supply and demand with reference to a [[Currency basket|basket]] of foreign currencies. In July 2005, the daily trading price of the US dollar against the renminbi in the inter-bank foreign exchange market was allowed to float within a narrow band of 0.3% around the central parity<ref>{{cite web|last1=KWAN|first1=C.H.|url=http://www.rieti.go.jp/en/columns/a01_0179.html|publisher=RIETI|title=How China's managed floating system under BBC rules actually works|access-date=21 March 2015|archive-date=23 April 2021|archive-url=https://web.archive.org/web/20210423172527/https://www.rieti.go.jp/en/columns/a01_0179.html|url-status=live}}</ref> published by the [[People's Bank of China]]; in a later announcement published on 18 May 2007, the band was extended to 0.5%.<ref>{{cite web|date=18 May 2007 |url=http://www.pbc.gov.cn/english//detail.asp?col=6400&ID=837 |title=Public Announcement of the People's Bank of China on Enlarging the Floating Band of the RMB Trading Prices against the US Dollar in the Inter-bank Spot Foreign Exchange Market |archive-url=https://web.archive.org/web/20070316163534/http://www.pbc.gov.cn/english/ |archive-date=16 March 2007 }}</ref> On 14 April 2012, the band was extended to 1.0%.<ref>{{cite web | date=14 April 2012 | url=http://articles.marketwatch.com/2012-04-14/markets/31340930_1_china-economist-yuan-renminbi | title=China to widen daily yuan band vs. dollar to 1% | archive-url=https://web.archive.org/web/20130410023405/http://articles.marketwatch.com/2012-04-14/markets/31340930_1_china-economist-yuan-renminbi | archive-date=10 April 2013 | df=dmy-all }}</ref> On 17 March 2014, the band was extended to 2%.<ref>{{cite news|last=Wang|first=Wynne|url=https://online.wsj.com/news/articles/SB10001424052702304026304579450152960381232?KEYWORDS=yuan+2+band+march&mg=reno64-wsj|newspaper=The Wall Street Journal|title=China's Yuan Falls Further Against Dollar|access-date=14 March 2017|archive-date=23 April 2021|archive-url=https://web.archive.org/web/20210423140322/https://www.wsj.com/articles/SB10001424052702304026304579450152960381232|url-status=live}}</ref> China has stated that the basket is dominated by the [[United States dollar]], [[euro]], [[Japanese yen]] and [[South Korean won]], with a smaller proportion made up of [[Pound sterling|sterling]], [[Thai baht]], [[Russian ruble|roubles]], [[Australian dollar]]s, [[Canadian dollar]]s and [[Singapore dollar|Singaporean dollars]].<ref>{{cite web | date=10 August 2005 | url=http://www.chinanews.com.cn/news/2005/2005-08-10/26/610367.shtml | title=央行行长周小川在央行上海总部揭牌仪式上的讲话 | access-date=24 February 2010 | archive-date=4 October 2010 | archive-url=https://web.archive.org/web/20101004160438/http://www.chinanews.com.cn/news/2005/2005-08-10/26/610367.shtml | url-status=live }}</ref>

On 10 April 2008, it traded at ¥6.9920 per US dollar, which was the first time in more than a decade that a dollar had bought less than ¥7,<ref>{{cite news|url=https://www.nytimes.com/2008/04/10/business/worldbusiness/10cnd-yuan.html|title=Yuan Hits Milestone Against Dollar|author=David Barboza|newspaper=New York Times|date=10 April 2008|access-date=11 April 2008|archive-date=23 April 2021|archive-url=https://web.archive.org/web/20210423075755/https://www.nytimes.com/2008/04/10/business/worldbusiness/10cnd-yuan.html|url-status=live}}</ref> and at ¥11.03630 per euro.

Beginning in January 2010, Chinese and non-Chinese citizens have an annual exchange limit of a maximum of US$50,000. Exchanges within this limit require only a passport or Chinese ID and no additional documentation showing the purpose of the exchange. Currency exchange transactions are centrally registered. The maximum dollar withdrawal is $10,000 per day, the maximum purchase limit of US dollars is $500 per day. This stringent management of the currency leads to a bottled-up demand for exchange in both directions. It is viewed as a major tool to keep the currency peg, preventing inflows of "[[hot money]]".

A shift of Chinese reserves into the currencies of their other trading partners has caused these nations to shift more of their reserves into dollars, leading to no great change in the value of the renminbi against the dollar.<ref>{{cite news |last=Frangos |first=Alex |url=https://blogs.wsj.com/japanrealtime/2010/09/16/dont-worry-about-china-japan-will-finance-us-debt/ |title=Don't Worry About China, Japan Will Finance U.S. Debt |work=The Wall Street Journal |date=16 September 2010 |access-date=4 August 2017 |archive-date=8 August 2020 |archive-url=https://web.archive.org/web/20200808041652/https://blogs.wsj.com/japanrealtime/2010/09/16/dont-worry-about-china-japan-will-finance-us-debt/ |url-status=live }}</ref>