RMB

Renminbi (RMB) is the official currency of the People’s Republic of China. It is issued and regulated by the People’s Bank of China (PBOC). The basic unit of the Renminbi is the yuan. In currency terms, 1 yuan equals 10 jiao and 1 jiao equals 10 fen, making 1 yuan equal to 100 fen. The international symbol is ¥ and the ISO 4217 code is CNY. In everyday use, RMB is often referred to as yuan, with the terms sometimes used interchangeably in casual contexts.

Banknotes and coins are issued in several denominations. Common banknotes include 1, 2, 5, 10, 20, 50, and 100 yuan. Coin denominations include 1 jiao (0.1 yuan), 5 jiao (0.5 yuan), and 1 yuan coins, with higher-value coins less commonly seen in daily circulation. Smaller fen coins have largely fallen out of everyday use in recent years.

Legal tender status is limited to mainland China. The RMB is not legal tender in Hong Kong or Macau, where separate monetary systems operate. In practice, RMB is increasingly used in cross-border trade and financial activities, and there are offshore RMB markets in cities such as Hong Kong, Singapore, and London.

The RMB’s exchange rate is managed by the PBOC within a regime that has evolved toward greater market influence. The central parity is set daily, and the currency is subject to capital controls and gradual liberalization. Internationally, the RMB has gained prominence, including its inclusion in the IMF’s Special Drawing Rights basket in 2016, reflecting its growing role in global finance.