No risk to dollar if China expands yuan’s role: Geithner

Reuters- Treasury Secretary Timothy Geithner said on Thursday that he saw no risk to the dollar from China’s efforts to encourage other emerging market economies to use the yuan more in international trade.

“What you’re seeing China do is gradually dismantle what were a comprehensive set of very, very tight controls on the ability of countries to use their (the Chinese) currency,” Geithner told an event at the Dallas Regional Chamber.

“Over time that will mean – and this is a good thing for the United States – more use of that currency and it will mean the currency will have to reflect market forces … So, I see no risk to the dollar in those reforms,” he said.

China is planning to extend renminbi-denominated loans to its fellow BRICS