Understand know about Chinese Currency Renminbi (RMB or CNY) Peoples Money Does china got 500 or 1000 Currency Notes like India
Understand know about Chinese Currency Renminbi (RMB or CNY) Peoples Money
Does china got 500 or 1000 Currency Notes like India
The Chinese also invented paper money in the 9th century.
China has a dream and goal to replace American dollar and make RMB the world currency.
Currently American dollar is called as and used as world currency.
China has agreements with Russia, Vietnam, and Thailand allowing trade with those countries to be settled directly in renminbi instead of requiring conversion to US dollars.
From 1997 to 2005, the Chinese government pegged the RMB to the United States currency at about 8.3 RMB per dollar.
U.S. Dollar: $1 = ABOUT 6.59 Yuan RMB [August 2011]
US Dollar $1 = Indian Rs. 45 to 52.
During the previous decade, Mainland China's Currency was pegged to the U.S. dollar at 8.28 RMB. On July 21, 2005, it was revalued to 8.11 per U.S. dollar,
The exchange rate is fix by the government of China without fearing any International pressure including American pressure.
The renminbi was first issued on December 1, 1948 by the Chinese Communist Party's People's Bank of China.
The name "renminbi" was first recorded as an official name in June 1949.
The Renminbi (RMB, sign: ¥; code: CNY; also CN¥, and CN) is the official currency of the People's Republic of China (PRC).
Renminbi (RMB) if it’s translated it means Peoples Money.
The word Yuan in Chinese literally means round, after the shape of the coins.
In spoken Chinese, "Yuan" is often called as "kuai" and the "jiao" as"mao". Fen-denomination RMB is rarely used.
Chinese Currency is called Renminbi (RMB or CNY) means "People's Currency" in Chinese language.
It is also known as the Chinese Yuan (CNY) and by the symbol '¥'.
The primary unit of renminbi is the Yuan
One Yuan is subdivided into 10 Jiao which in turn is subdivided into 10 fens
Renminbi banknotes are available in denominations from 1 Jiao to 100 Yuan (¥0.1–100)
Coins have denominations from 1 fen to 1 Yuan (¥0.01–1).
Units in short
1. Unit: Yuan, Jiao (some times called "Mao " )
2. Fen. 1 Yuan = 10 Jiao (Mao);
3. 1 Jiao = 10 Fen.
Chinese paper money usually comes in
• 1 fen (rare)
• 2 fen (rare)
• 5 fen (very rare)
• 1 jiao
• 2 jiao
• 5 jiao
• 1 Yuan
• 2 Yuan
• 5 Yuan
• 10 Yuan
• 20 Yuan
• 50 Yuan
• 100 Yuan
As a honest nation china do not have currency notes more than 100.
Always remember a nation which got the currency note of more than 100 that means the country is corrupt and politicians love the corruption and they are involved in corruption.
One Yuan is divided into 10 jiao.
One jiao is divided into 10 fen, pennies in English.
The largest denomination of the renminbi is the 100 Yuan note.
The smallest is the 1 fen coin or note. RMB is issued both in notes and coins.
The paper denominations include100, 50, 20, 10, 5, 2 and 1 Yuan; 5, 2 and 1 jiao; and 5, 2 and 1 fen.
The denominations of coins are 1 Yuan; 5, 2 and 1 jiao; and 5, 2 and 1 fen.
Renminbi currency production is carried out by a state owned corporation, China Banknote Printing and Minting [CBPMC] headquartered in Beijing.
High grade paper for the banknotes is produced at two facilities in Baoding and Kunshan
In India we import the paper for printing the notes I do not know why we can not produce high grade paper in India.
The People's Bank of China has its own printing technology research division that researches new techniques for creating banknotes and making counterfeiting more difficult.
The International Monetary Fund estimated that, by purchasing power parity,
One United States dollar was equivalent to approximately
• RMB3.462 in 2006
• RMB3.621 in 2007
• RMB3.798 in 2008
• RMB3.872 in 2009
• RMB3.922 in 2010
Short History of China Currency –
• 1500 BC to 1000 BC: China used cowry shells as a form of currency.
• 1500 BC to 1046 BC: China used bronzed shells as a form of currency
• 900 BC: First metal coins were invented in China.
• 500 BC to 221 BC: bronze objects of shapes of a spade or a knife were used as coins.
• 221 BC to 210 BC: As part of the unification of China, a uniform copper coin was used as a national currency during the Qin Dynasty.
• 210 BC to 960 AD: Various of metal coins made of copper, iron, or lead were used in China as currencies. During certain time of this period, because of lack of management or poor decision making of the emperors, people were allowed to make their own coins, thus causing major inflation and disruption of the functions of the currencies.
• 960 AD to 1279 AD: First paper form of currency was used starting with promissory notes called "flying money" The state took over the production of the paper form of money in 1024.
• 1271 AD to 1368 AD: The Mongolian Yuan Dynasty created a national system of paper currency not backed by silver or gold. It was the world's first fiat currency. However, the inflation in 1260 caused the government to replace the existing paper currency with a new paper currency in 1287, but inflation caused by undisciplined printing remained a problem for the Yuan court until the end of the Dynasty in 1368.
• 1368 AD to 1644 AD: A form of paper currency experienced rapid inflation and issues were suspended in 1450 although notes remained in circulation until 1573. In 1423 AD, silver, flowed in from overseas, became a legal tender for payment of taxes. Most of the silver came from Latin America.
• 1644 AD to 1889 AD: China used a silver and a copper currency system. Paper from of promissory notes were also used during this period. Shanxi Province was one of the financial centers in China.
• 1889 AD to 1910 AD: The Chinese Yuan was introduced at par with the Mexican Peso.
Today, the currency is convertible only on the current account.
Yuan or RMB, Renminbi is not fully convertible.
It’s expected that in 2012 Yuan will become fully convertible and will challenge the position of American dollar as the king of all currencies.
Suggested Reading –
In Short – History about Indian Rupee and Its Exchange Rate with American dollar –
Reasons to Ban Currency Notes of Rs.500 and Rs 1000 in IndiaEffects of Ban on Currency notes of Rs. 500 and 1000.
Reality views by sm –
Tuesday, January 03, 2012
Tags – China Currency Money Yuan Renminbi (RMB or CNY)