Wen Jiabao: RMB Effective exchange rate appreciation 57.9% compared with 1994

China Web March 14: This morning, Premier Wen Jiabao met with Chinese and foreign journalists who interviewed the four meetings of the National People's Congress in the Great Hall of the people and answered the questions posed by reporters. Wen said that with regard to the appreciation of the renminbi, we will continue to uphold the reform of the RMB exchange rate mechanism.　　If we start from 1994, our big renminbi exchange rate reform has been carried out 3 times. The renminbi's effective exchange rate has now risen 57.9% compared with 1994. Our reform is mainly to change the single peg to the US dollar, and to implement a managed floating exchange rate system based on market demand and reference to a basket of currencies. We will further increase the flexibility of the RMB float according to the change of market demand. But at the same time we must consider whether this appreciation or gradual, because it concerns the ability of enterprises and employment, we have to maintain the stability of the whole society.