Article: Chinese economists warn of risks of continued yuan appreciation.

Chinese economists warn of risks of continued yuan appreciation

Beijing, July 25 (PTI) Chinese economists have warned that the continued revaluation of the yuan in one direction may adversely affect the country's economic and financial security.

The Chinese currency, the yuan, had been rising in small steps during the first year after the central bank dropped the peg to the US dollar in July 2005 and linked the yuan to a basket of foreign currencies.

The driving force behind the yuan appreciation then was the economic growth itself and the progress in the financial sector, a research analyst with the Bank of China, Tan Yaling said.

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