China to set up FX unit to control renminbi

The People's Bank of China will establish a foreign-exchange department to help manage the appreciation of the renminbi.

The department will aid the setting and implementation of the country's controversial exchange-rate policy. It will regulate the domestic foreign-exchange market, administer foreign exchange and analyse global trends.

Xinhua, a state-owned newspaper, reported that, unlike the State Administration of Foreign Exchange, the central bank unit will focus more on policy rather th