BOAO, Hainan, April 25 (CEIS)-- The president of Asian Institute for Management said on April 24 at the Boao Forum for Asia that China should first focus on financial reform before it reevaluates its currency.

    Roberto De Ocampo made the remarks at a panel discussion at the conference being held on southern China's island province of Hainan.

    China's currency has been pegged at 8.3 to a dollar for the past 10 years. China has been pressed by foreign governments to let the Renminbi float on the market, which would cause it to increase in value.

    The US Senate passed a bill earlier this month, saying that the United States is likely to raise customs on imports from China if China does not appreciate Renminbi in six months.

    The reason for the pressures on Reminbi is not right and it is currently not a good time to appreciate the Chinese currency, Ocampo said.

    It has become a common view that a flexible foreign exchange policy would play an active role in promoting economic growth. But when loosening the RMB, the Chinese government must have the right reason and the decision should not be made rashly, said Ocampo.

    No one knows how much the RMB should be appreciated or what affect it will have on the world economy, Ocampo said. Enditem