Estimate and report:
figure 1: Share of central bank foreign exchange reserves denominated in USD + 60% of unallocated reserves (dark blue), EUR share + 35% of unallocated reserves (tan), JPY share (green), GBP share (red) and RMB share ( pink).Source: IMF annual reports such as Chin Frankel (2007)COFER and author’s calculations.
Note that there are few decisive transitions in the rankings. It is worth noting that around 1973 the position conversion of the British Pound to the Deutsche Mark. This shift lags the shift in GDP rankings, but also follows Germany’s capital account liberalization. This is a hint to those who think that China’s GDP surpassing that of the US is a sufficient and necessary condition for the appreciation of the renminbi.
