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But analysts do not expect the shift in policy to lead to significant currency appreciation.
A significant currency appreciation could help cause a wave of business failures and bankruptcies, Chinese officials say.
Britain's peers have not suffered similar levels of inflation despite importing oil and, in America's case, undergoing significant currency depreciation.
"I'm particularly pleased by the strength of our international businesses, which generated double-digit revenue growth, despite significant currency weakness in Europe".
A significant currency appreciation would contribute to making the goods less competitive and could lead to a wave of business failures and bankruptcies, Chinese officials say.
Print publishing may have lost significant currency with consumers and advertisers in a digital age, but investors have a far deeper animus.
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As the dollar evaporates in value and the US economy rapidly shrinks in global significance (the dollar has been on a free fall against all significant currencies in the world) we should wonder when will the dollar reach a value that makes the financial world crack.
China will not want the yuan to get too far ahead of other significant currencies that may be falling against the dollar.
"Notwithstanding the I.M.F.'s imprimatur, the renminbi will not become a significant reserve currency unless China has better-developed and well-regulated financial markets," Mr. Prasad added.
It was, in effect, a D-mark block: Germany accounted for the bulk of the group's GDP and the only significant world currency.
Longer term, despite the I.M.F.'s planned move, few expect the renminbi to rival the dollar as a haven, or even as a significant reserve currency, unless China pushes forward with dramatic legal and financial changes.
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