Sources: PBOC mulls widening Yuan band amid reform pressures - RTRS

According to four sources familiar with the Chinese central bank’s (PBOC) internal policy discussions, the country’s central bank is considering a widening of the Yuan’s trading band after a major Communist party meeting this year, Reuters reports.

The sources said that the PBOC could widen the Yuan trading range to allow it to rise or fall 3% versus the dollar from the daily mid-point rate set, up from the current 2%,

One source, who advises the government on policy, noted: “A Yuan band widening is possible. There could be some internal consensus on this. But the impact won't be big - it may just be a gesture to express the commitment to long-term market reform.”