Group of 20 leaders will not make explicit reference to China or China's exchange rate in the statement they are to issue at the end of their meeting on Sunday, two sources familiar with the document said.

Leaders of the G20 economic powers are meeting in Toronto and negotiators have been preparing an end-of-meeting communique to sum up the main points of agreement.

A draft obtained by Reuters on Saturday included a line that welcomed China's recent announcement of an end to the de facto pegging of the yuan, or renminbi, to the U.S. dollar.

Chinese officials had said ahead of the Canada summit that debate about the yuan -- which Washington and many of China's other G20 partners regard as seriously undervalued -- had no place in international forums.

The two sources Reuters contacted confirmed there was now no longer a reference to the yuan.

Negotiators meet throughout such summits and can alter the texts of communiques shortly before publication.

(Reporting by G20 team, Writing by Brian Love, Editing by Chizu Nomiyama)

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