Dubai-Mubasher: Asian equities closed in the green territory following the news that the International Monetary Fund (IMF) has approved China's yuan into its elite reserve currency basket.

IMF officially admitted the yuan into its Special Drawing Rights (SDR) basket, effective from October 1, 2016.

Shanghai composite went up 0.3% to reach 3,456 points.

Hang Seng index rose 1.86% or 409 points to stand at 22,405 points.

The benchmark BSE Sensex gained 0.12% to reach 26,177 points.

The IMF’s decision is an international stamp of approval of the strides China has made integrating into a global economic system dominated for decades by the U.S., Europe and Japan.

Weightings will be 41.73% for the dollar, 30.93% for the euro, 8.33% for the yen and 8.09% for the British pound.

The yuan weakened in offshore trading Tuesday amid speculation China’s central bank will rein in intervention now that the IMF vote on reserve-currency status is out of the way.