Update | IMF urged to delay adopting China's yuan in SDR basket but review to proceed as planned

The International Monetary Fund has been asked to delay its highly anticipated move to add China's currency, the renminbi, to its Special Drawing Rights currency basket until September next year.

But the IMF board will still meet in November as scheduled to decide whether to include the yuan in its basket of reserves, comprising the US dollar, Euro, British sterling and Japanese yen.

Analysts said they were confident the IMF’s announcement of the potential postponement did not bode ill for the yuan’s chances of joining the exclusive club of the world’s top currencies. IMF managing director Christine Lagarde had said adding the yuan was merely a “question of when”.

Beijing had hoped the renminbi could be added to the SDR on January 1, but an IMF staff report on Tuesday said the board would this month consider a recommendation to delay the move for nine months.

Following Western media reports on the delay, Xinhua on Wednesday highlighted the fact that the IMF board meeting would take place as scheduled.

Beijing has launched a major diplomatic push for the renminbi to be including in the the SDR as part of its long-term strategic goal of reducing dependence on the US dollar. The move would also be a recognition of China’s growing clout in the global economy.