Fixed yuan "legitimate choice": WB

Beijing's fixed exchange rate policy is a "legitimate choice" and not a manipulation of the yuan, despite rising angry rhetoric from the US, according to the World Bank's China director, David Dollar, state media reported. Last month, the US Treasury Department warned that China risked being branded a manipulative trading partner unless it undertook significant revaluation in its currency within a few months. Dollar, who is based in Beijing, said that loosening the yuan's peg to the US dollar would not necessarily mean the Chinese currency would stay strong over the long term.