A former policy adviser to the People's Bank of China (PBOC), Li Daokui, told in an interview published in the Time Weekly on Tuesday, "We should prevent the yuan from depreciating by more than 5% against the dollar and try hard to keep it stable. It will be a tough battle next year."
Li added, “The yuan should not weaken past the 7.35 per dollar level,” and warned that the consequences of breaking the level would be "unthinkable".
Authorities should strictly control capital outflows to help slow the Yuan’s depreciation, Li concluded.
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