The Yuan is expected to face large fluctuations in 2012 but mainly appreciate by 2%-3% against the USD over the year, said professor at Fudan University. The central bank of China essentially increased a daily reference rate to 6.3 Yuan per one USD. The Chinese currency is allowed to fluctuate by 0.5% above or below the reference rate. Wider currency fluctuations will positively affect China's system for determining exchange rates and decrease the Yuan appreciation, the professor added.