Forex reforms to result in greater yuan swings

Traders 'must accept' increased volatility with further opening of foreign exchange markets

One of the country's leading economists is predicting the Chinese currency will experience ongoing fluctuations as the interbank foreign exchange market opens further to more diversified overseas investors.

Liang Hong, chief economist at China International Capital Corporation, said on Thursday she expected opportunities to open up in the market for foreign financial institutions that specialize in foreign exchange trading and cross-border businesses.