Expert: China Should Diversify Foreign Exchange Reserves

By intern reporter Guo Jin

(.com.cn) China should diversify its foreign exchange reserves as the economic crisis is likely to result in the long-term decline of the U.S. dollar, Huang Yiping, a professor from Peking University said.

China should also step up efforts to internationalize the yuan, allow the currency's exchange rate greater flexibility to fluctuate and increase direct outbound investment, Huang told a finance and real estate forum sponsored by on Sept. 8.