Chinese Currency Accountability Act of 2025
The Chinese Currency Accountability Act of 2025 would require the United States to block any increase in the Chinese renminbi’s (RMB) share in the IMF’s Special Drawing Rights (SDR) basket unless the Treasury Secretary can certify to Congress that China is meeting certain conditions. Specifically, before the United States would instruct its IMF representatives to oppose a higher RMB weight, the Treasury must submit a written report to the House Financial Services Committee and the Senate Banking Committee certifying: (1) China is in compliance with all obligations under IMF Article VIII; (2) in the past year there have been no findings that China manipulated its currency in reports under specified U.S. laws; and (3) China adheres to Paris Club rules and the OECD Arrangement on Officially Supported Export Credits. The act also sunsets 10 years after enactment, after which it would lose force unless renewed. The aim is to use U.S. influence at the IMF to keep the RMB’s role in SDRs limited until China’s currency and related policies meet these external standards.
Key Points
- 1The core trigger: The U.S. would use its voice and vote at the IMF to oppose any increase in RMB weight in the SDR basket unless conditions are met.
- 2Certification requirements: Before opposing an increase, the Treasury must certify to Congress that (a) China complies with IMF Article VIII, (b) there have been no currency manipulation findings in the prior 12 months under specified U.S. laws, and (c) China adheres to Paris Club and OECD export credit rules.
- 3Sunset: The authority ends 10 years after enactment unless renewed.
- 4Congressional oversight: The Treasury Secretary must deliver the specified written report to the House Committee on Financial Services and the Senate Committee on Banking, Housing, and Urban Affairs before directing IMF representation.
- 5Scope and effect: The bill targets IMF governance and U.S. policy toward SDR composition rather than changing IMF rules directly; it leverages U.S. influence to shape how the RMB is valued in the international monetary system.