China’s central bank believes yuan may become a reserve currency

Deputy governor of Chinese central bank Yi Gang said in remarks published on Thursday that the yuan could potentially become a world reserve currency as the country gears up to boost its global presence.

"Why do global investors like to hold a certain currency and make investments in a market? They mainly consider its safety, returns and depth, and the liquidity of the market. China's market and the yuan have full potential," Yi said in an article published in the official Financial News.

"We need to quicken the pace of internationalization of our capital markets to improve the global status of the yuan," Yi added, without elaborating on how to move toward that goal.

The People's Bank of China said on Wednesday that it would allow importers and exporters across the nation to settle trades in the yuan this year in a move to enhance the role of the yuan in the global economy.

Whatever strong the growth of China’s economy may be it is still not enough to compete with world leaders and provide the capacity offered by other nations in the basket of currencies. Apart from these, China has no human respecting policy to really become a reputed and stable country acknowledged by the world community.