Chinese Yuan is the official currency of China. In the international money market, a currency is designated as CNY (or RMB). In everyday life, the most common are banknotes in hair dryers (1, 2 and 5); Jiao (1, 2 and 5) and RMB coins (1, 2, 5, 10, 50, 100). 1 yuan equals 100 jiao or 100 fen. Money is issued by the People's Bank of China.
The yuan is not an international currency, but experts believe that in about 15 years it will become the same as the dollar and the euro.
The rise of the yuan
The mention of Chinese money appeared 4,500 years ago. During the reign of Zhou, they looked like bronze objects, like a knife. Money in China took on a new look in 210 BC The coin was a copper disk, in the center of which was a hole in the shape of a square. The circle represented the sky and the masculine principle of Yang, and the square represented the earth and the feminine principle of Yin. All coins weighed 3.5 g. On the front side were depicted 4 hieroglyphs with the emperor's motto and the name of the coins. This design lasted until the 20th century.
Under the Tang rule, there was a qian coin in use, which weighed about 5.4g. Paper notes began to be printed in 1024, and in 1260, when the Mongol Yuan dynasty ruled, new notes appeared.
In 1835, the yuan began to be minted in the form of silver coins. The Chinese yuan in 1889 was divided into jiao (10), hairdryers (100) and weni (1000). The single currency was absent in China until 1933 (there were Tibetan sangs, Manchu yuan, Xinjiang yuan, Japanese yen). In 1935, the yuan were retired and replaced with gold-based fabies.
As the Chinese regions of the country merged in 1948, after the formation of the People’s Bank of China, they introduced a new currency, the Renminbi, i.e. “People's money,” in other words, is the yuan.
Modern money in China
The reverse of each banknote indicates the denomination in Chinese and Braille, and the reverse in Mongolian, Tibetan, Zhuang, and Yizu languages.
- 1, 5, 10 yuan depict the portrait of Mao Zedong and the coat of arms, as well as the landscape of Changyang Gorge;
- Chinese yuan in nominal value 20 - a portrait of Mao Zedong and a coat of arms, on the reverse - the Yellow River;
- 50 yuan - portrait of Mao Zedong and the coat of arms, reverse - The Wall of China ;
- 100 yuan - a portrait of Mao Zedong, a flying dragon and the Beijing building of ChinaCentury Altar.
CNY. Degree of protection
Banknotes are protected by a relief inscription, a hologram and a transparent window. Small bills do not have protective strips, so they have a lower degree of protection. Mao's hair is one of the degrees of protection of large denominations: they are felt under the finger. Around the denomination of notes, a blue halo glows.
Coins in China are jubilee, they are minted in brass. Ritual money is also issued, which is called the money of the afterlife and is used in the performance of funeral rituals. The attitude of the Chinese to these notes is very serious: they give paper money to the dead to live in the afterlife.
China's financial system
The economic conditions in the country are very difficult - both external and internal. Nevertheless, in 2011, the country's financial system worked stably, reforms were deepened and the potential for eliminating risks improved.
Last year did not reduce the fiscal health indicators of the government, individual farms and enterprises; financial infrastructure is gradually being built - this was noted in a report on the state of financial stability of the Central Bank of China.
Stress tests have shown that 17 major commercial banks in China have a strong potential to counter the shocks of the macroeconomics.
According to the assessment of the Chinese banking system, banking capital has adequate reserves, however, there has been a decrease in the growth of deposits and increasing pressure on liquidity.
The report noted that, although risks sometimes required attention, the banking system as a whole remained healthy.
The Central Bank of China continues to carry out the further reform process, contributing to the establishment of the base rate using market mechanisms, as well as improving the mechanism for forming the renminbi exchange rate and increasing risk control.