RMB exchange rate RMB exchange rate shall be formulated and promulgated by the State Administration of Foreign Exchange before 1994. After the RMB exchange rate 1994+ 1 is merged, a single and managed floating exchange rate system based on market supply and demand will be implemented. The People's Bank of China announced the exchange rate of RMB against the US dollar and other major currencies according to the price formed in the inter-bank foreign exchange market the day before, and the bank took this as the basis. RMB adopts a floating exchange rate system from 1949 to 1952. From 1953 to 1973, under the planned economy system, the RMB was officially linked to the US dollar, and the exchange rate remained at the level of 1 US dollar to RMB 2.46. However, in this era, Chinese mainland has almost no foreign trade, so the RMB exchange rate is of little significance. From 65438 to 0973, due to the oil crisis, the world price level rose, and the floating exchange rate system was widely implemented in western countries, and the exchange rate fluctuated frequently. In order to adapt to this change in the international exchange rate system and the adverse effects brought by the exchange rate changes of major international currencies in reality, the RMB exchange rate is adjusted by using the weighted average calculation method of "a basket of currencies" according to the principles of being conducive to RMB pricing and settlement, being conducive to trade and being accepted by foreign trade, and referring to the floating exchange rates of western countries. Therefore, the exchange rate of RMB against the US dollar was gradually adjusted from 1973 L USD to 2.46 RMB to 1.50 yuan RMB in 1980, and the US dollar depreciated by 39.2% against RMB. In the same period, the exchange rate of British pound was adjusted from 1 GBP to RMB 5.9l to RMB 3.44, and GBP depreciated by 4 1.6%. From 1980 to 1994, Chinese mainland implemented a dual exchange rate system. From 198 1 to 1984, the dual exchange rate system was initially implemented, that is, in addition to the official exchange rate, another foreign exchange internal settlement price was set for foreign trade units for import and export trade settlement and economic benefit accounting, which was fixed at 2.80 yuan according to the current export exchange cost. Affected by internal and external factors, the official exchange rate of RMB against the US dollar was lowered from 198 1.50 yuan in July to 2.30 yuan 1984 in July, and the RMB depreciated by 53.3% against the US dollar. 1985 to1991April to restore the single exchange rate system. The exchange rate continued to adjust downward, from 2.30 in 1984 in July to 2.80 in 10 in October, and then it was lowered several times. Although the single exchange rate system has been restored at this stage, in practice, with the increase of retained foreign exchange, the transaction volume of foreign exchange adjustment is increasing and the price is getting higher and higher, so it is nominally a single exchange rate and actually forms a new dual exchange rate. 1991April to1end of 993. At this stage, the RMB exchange rate will be fine-tuned. In more than two years, the official exchange rate has been slightly lowered dozens of times, but it still can't keep up with the changes in export exchange costs and foreign exchange swap prices. By the end of 1993, the official exchange rate and swap exchange rate of RMB against the US dollar were 5.7 and 8.7 respectively. It can be seen that the evolution and reform of RMB exchange rate system during this period showed the characteristics of the coexistence of official exchange rate and swap market exchange rate, and the gradual downward adjustment of official exchange rate. Since 1994, the RMB has been informally linked to the US dollar, and the exchange rate can only fluctuate within a very narrow range of 1 US dollar to 8.27-8.28 RMB. Real-time exchange rate conversion tool 197 1 annual average price of USD against RMB (1 USD exchange) annual price annual price 197 1 annual 2.4621985 2.9371year. 972 2.245 1986 1987 3.722 200 1 8.277 1974 1.96 1. 1988 3.722 2002 8.277 1975 1 .859 65438.5438+09761.941990 4.783 2005 8.0702 (year-end price)19771.858199/kloc. 8+0.684 1 992 5.516 2007-19791.5551993 5.762 2008-1980/kloc-. .7051995 8.3512010 year-1.8931996 8.3614 206538. .9761997 8.290 2012-1984 2.3201998 8.279 2013-21July 2005, People's Bank of China. The daily trading price of USD against RMB in the inter-bank foreign exchange market still fluctuates within three thousandths of the median price of USD transactions announced by the People's Bank of China, and the trading price of non-USD currencies against RMB fluctuates within a certain range of the median price of currency transactions announced by the People's Bank of China. The basket mechanism of RMB exchange rate is to comprehensively consider the major countries, regions and their currencies that account for a large proportion of China's foreign trade, foreign debt (interest payment), foreign direct investment (dividends) and other foreign trade activities, form a currency basket, and give it corresponding weight in the basket. Specifically, the US dollar, euro, Japanese yen and Korean won naturally become the main basket of currencies. In addition, due to the large proportion of trade between Singapore, Britain, Malaysia, Russia, Australia, Thailand, Canada and other countries and China, the exchange rate of their currencies against RMB is also very important. On September 23, 2005, the People's Bank of China issued a notice to expand the floating range of non-US dollar currencies against RMB in the inter-bank spot foreign exchange market, from the original floating range of 1.5% to the floating range of 3%. On February 29th, 2005, 13 banks were approved by SAFE to provide market-making services, including four state-owned commercial banks of industry, agriculture, China and China Construction, four joint-stock banks of Bank of Communications, CITIC, China Merchants and Xingye, and five foreign banks of Citigroup, Standard Chartered, HSBC, ABN Amro and Montreal. On June 4, 2006, 13 RMB market makers began to introduce inquiry transactions in the inter-bank spot foreign exchange market, while retaining the matching method. [4] On June 3, 2006, the Announcement of the People's Bank of China on Further Improving the Inter-bank Spot Foreign Exchange Market (People's Bank Announcement [2006]No. 1) stipulated that the inquiry trading method (hereinafter referred to as off-site trading method) was introduced in the inter-bank spot foreign exchange market from June 4, 2006, and it was kept at the same time. China Foreign Exchange Trading Center announces the central parity of RMB against USD, EUR, JPY and HKD at 9: 00 a.m.15 every working day as the central parity of spot foreign exchange market (including off-site and matchmaking methods) and over-the-counter exchange rate of banks on that day. China Foreign Exchange Trading Center makes an inquiry to all market makers in the inter-bank foreign exchange market before the daily opening of the inter-bank foreign exchange market, and takes all market makers' quotations as calculation samples of the central parity of RMB against the US dollar. After excluding the highest quotation and the lowest quotation, the remaining market makers' quotations are weighted and averaged to get the central parity of RMB against the US dollar on that day, and the weight is determined by China Foreign Exchange Trading Center according to the trading volume and quotations of the quotations in the inter-bank foreign exchange market. On May 18, 2007, the People's Bank of China announced that since May 2 1, the floating range of RMB against the US dollar in the inter-bank spot foreign exchange market has been expanded from three thousandths to five thousandths.