H.R. 386: Chinese Currency Accountability Act of 2025

The Chinese Currency Accountability Act of 2025 is a proposed piece of legislation aimed at influencing the role of the Chinese renminbi in international finance. Its main provisions can be summarized as follows:

Opposition to the Renminbi's Increase

The bill mandates that the U.S. Secretary of the Treasury instruct the U.S. representatives at the International Monetary Fund (IMF) to actively oppose any increase in the weight of the Chinese renminbi in the Special Drawing Rights (SDR) basket. SDR is an international reserve asset, and its value is determined based on a basket of major currencies.

Conditions for Opposition

For the U.S. to support any change regarding the renminbi's weight in the SDR basket, the Secretary of the Treasury must provide a written report to specific congressional committees. This report must include:

• A certification that China is in compliance with all obligations under Article VIII of the Articles of Agreement of the IMF.
• A statement confirming that no reports exist, within the preceding year, indicating that China has manipulated its currency.
• A confirmation that China adheres to the standards set by the Paris Club and the OECD Arrangement on Officially Supported Export Credits.

Duration of the Bill's Provisions

The provisions outlined in this bill regarding the U.S. opposition will remain in effect for a period of 10 years after the bill's enactment. After this period, the opposition will no longer be mandated under the law.

Relevant Companies

None found