Reuters | Tue Jul 27, 2010 | 7:02am IST
The International Monetary Fund believes that the Chinese yuan is "substantially undervalued", the Wall Street Journal reported on Tuesday, citing two unidentified IMF officials. The newspaper said the IMF’s opinion, in a review of the world’s third-largest economy, was backed by the United States, Germany, France and Britain among others.
A full analysis would likely be released in September unless China withholds its permission, it reported on its website http://www.wsj.com. A U.S. Treasury official also said on Monday that the yuan remained clearly undervalued and that the Treasury Department was closely monitoring it. The yuan has risen 0.7 percent since the People’s Bank of China announced its depegging from the dollar on June 19.