CSFB research chief sees revaluation hurting farmers, banks and industry China will probably not heed calls from policymakers in the United States and Europe, who say that the yuan is undervalued and that the central government should raise the value of its currency, according to a representative of investment bank Credit Suisse First Boston (CSFB). Speaking yesterday after returning from a visit to Beijing, where he met senior government and banking officials, Jonathan Garner, global co-ordinator of China research at CSFB, said there was no reason for the People's Bank of China - the mainland's central bank - to revalue the yuan or let it float. Officials from some of China's main trading partners, including the US and the European Union, have asked the nation to allow its currency to rise in value because its current rate is hurting their own manufacturing and export businesses. But Mr Garner predicted that such a move would not happen in the near future. 'A change in the renminbi exchange rate is extremely unlikely, in our view,' Mr Garner said. China's currency is allowed to trade in a narrow band of 8.276 to 8.28 to the dollar. Mr Garner said protecting the agricultural sector was one of the main reasons mainland authorities would not allow the yuan to rise in value. A more expensive yuan would make it harder for farmers to compete with counterparts and agribusinesses in the US and Europe, he said. China has about 620 million farmers, who are among the world's poorest. 'Agriculture is also opening up to competition in the World Trade Organisation and Chinese agriculture will have substantial difficulties to overcome, with competition from major agricultural exporting areas,' Mr Garner said. There were also unresolved issues in the state-owned sector and the banking system preventing Chinese authorities from revaluing the yuan, he said. Central bank governor Zhou Xiaochuan was quoted yesterday as saying China must maintain a stable yuan and stave off possible inflation to protect ordinary people, 'An unstable currency value, inflation, and particularly runaway inflation, will seriously erode the interests of the masses,' the Financial News quoted Mr Zhou as saying. His comments were the latest remarks by top economic officials that China would not immediately tamper with the yuan. US Treasury Secretary John Snow and Federal Reserve chairman Alan Greenspan have suggested China should make its exchange rate more flexible. Senators have complained that China's low costs have resulted in almost three years of job losses in US manufacturing.