Exchange Rate Regimes in East Asia – Recent Trends.docVIP

Analysis on and Convergences of East Asian Currencies* April 29, 2009 Eiji Ogawaa and Taiyo Yoshimib Abstract This paper focuses on recent events which include the RMB reform in China and the global financial crisis to investigate statistically recent diverging trends among East Asian currencies. For the purpose, their weighted average value (Asian Monetary Unit: AMU) and their deviations (AMU Deviation Indicators) from benchmark levels are used to analyze both and convergences of East Asian currencies. Our analytical results show that the monetary authority of China has still kept stabi