The actual statement doesn't make any sense: "China’s central bank on Monday proposed replacing the US dollar as the international reserve currency with a new global system controlled by the International Monetary Fund.
In an essay posted on the People’s Bank of China’s website, Zhou Xiaochuan, the central bank’s governor, said the goal would be to create a reserve currency 'that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies'."
"controlled by the IMF" does not imply stable. While the IMF is somewhat disconnected from individual nations, it is gamed.
I suspect that this is China's way of saying that it wants to play too. Since it's big enough to break the IMF, it may just be a public announcement of China's new role.
In an essay posted on the People’s Bank of China’s website, Zhou Xiaochuan, the central bank’s governor, said the goal would be to create a reserve currency 'that is disconnected from individual nations and is able to remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies'."
"controlled by the IMF" does not imply stable. While the IMF is somewhat disconnected from individual nations, it is gamed.
I suspect that this is China's way of saying that it wants to play too. Since it's big enough to break the IMF, it may just be a public announcement of China's new role.