BEIJING - The value of Chinese currency Renminbi (RMB), the yuan, strengthened 46 basis points against US dollars Tuesday.

The central parity rate was set at 6.5706 per US dollar Tuesday, comparing 6.5752 per US dollar the previous trading day, according to the China Foreign Exchange Trading system.

It is only one basis point away from the record high 6.5705 per US dollar set on Feb 21.

China's central bank announced on June 19 last year that it would reform the yuan exchange rate formation mechanism to improve its flexibility.

On China's foreign exchange spot market, the yuan can rise or fall 0.5 percent from the central parity rate each trading day.

The central parity rate of the RMB against the US dollar is based on a weighted average of prices before the opening of the market for each business day.