BRITAIN will support the yuan in becoming part of the International Monetary Fund’s Special Drawing Right (SDR) basket currencies, said Lord Mayor of the City of London Alan Yarrow on Friday.

    “Britain will certainly support. We think the world needs another reserve currency and we think we need the renminbi,” Yarrow said. The yuan is officially called the renminbi.

    Yarrow tuned positively on the yuan’s pricing mechanism improvement and other financial market reforms.

    He said that the currency fluctuation is one of the features of a marketized currency and during the process of reforms, clarity and transparency of economic information is very important.

    “How can you have a country that has done so many reforms in such a short period of time? All will be working at the same speed? You can’t, and there is going to be some sort of deficiency in some areas,” said Yarrow.

    “So the transparency and analytics have to be geared up. And I think when the market feels it has a better idea of what they are, then they will have more comforts on where the currency is going to be,” he said. (Xinhua)