The exchange rate of China's currency, the RMB, affects the country's economic growth. When the RMB appreciates, it has a negative impact on the economy. This is because a stronger RMB makes Chinese exports more expensive and decreases foreign direct investment. The study used data from 1994 to 2016 and found that both exports and imports are negatively correlated with the RMB exchange rate. In summary, a higher RMB value hurts Chinese economic growth by reducing exports and foreign investment.