They say that George Soros, the world-famous American billionaire, is waging war on the Chinese Yuan also known as the Renminbi. Well, this is more than a rumor, especially if to take into account the fact that the Chinese Department of Trade is reporting the same thing.
Asian experts say that the currency war on China and other Asian nations is contributing to tighter cooperation within Asia. It all started with a Bloomberg interview with Mr. Soros. Earlier this month, the financier predicted a hard landing for the Chinese economy. The billionaire says that the major reason fro that is the flight of capital coupled with a huge debt.
That is why Mr. Soros warns everybody that the existing crisis in China is eventually going to result in a crash across international stock markets. At the same time, we cannot ignore that fact that the existing flight of capital made the Renminbi devalue a lot.
In early 2015, the U.S. Dollar cost under 6,1 RMB per 1USD. 12 months later, this was 6,6. Ultimately, the Chinese currency lost some 8% of its value. In 2015, the Chinese GDP increased by 6,9%, which is the weakest performance in 25 years! At this point, Chine makes up for 25% of the global economic growth, which is the biggest contribution among all the countries in the world, Masterforex-V Academy reports.
