News

    Renminbi internationalization a delicate issue

    By Xu Xiao and Lu Wei (China Daily)
    Updated: 2010-08-20 08:01
    Large Medium Small

     Renminbi internationalization a delicate issue

    Delegates from home and abroad discuss regional financial cooperation at the Kunming forum. Photos by Qu Mingfei / For China Daily

    Delegates to a recent Kunming financial summit agreed that Asia should reduce its dependence on dominant currencies during trade settlements. The move would promote the internationalization of local tender.

    Il Houng Lee, senior resident representative of China's International Monetary Fund, said Asian economies used to depend largely on the United States and Europe. As a result, US dollars and euros are now commonly used for settlements.

    "But in recent years Asia's intra-regional trade and investment has seen rapid growth," Lee said. "Improving settlement efficiency and capital mobility, as well as avoiding exchange rate fluctuation risks are now big challenges for Asia."

    Lawrance Lam, president of the Royal Bank of Scotland, said he thought China made an important step towards internationalizing yuan in July 2009. At that time, the Chinese government announced administrative rules for cross-border renminbi settlement.

    "Multiple currencies are needed in cross-border trade to effectively avoid foreign exchange risks," said Lam.

    A cautious approach

    Mushtaq Khan, chief economic adviser at the State Bank of Pakistan, said he appreciates China's rational approach to the internationalization of its currency.

    "While the OECD is justified in its concern over the global trade imbalance, observers often forget that China is a developing country. It is still undergoing economic reforms," Khan said.

    China's share of global exports grew from 3.6 percent in early 2000 to 10.7 percent in January 2010, prompting remarks by the OECD that the renminbi was undervalued.

    "The issue is how to internationalize the renminbi in a controlled manner without disrupting manufacturing sectors. We need to make sure China does not create destabilizing capital flows that could complicate renminbi management," said Khan.

    China initiated currency reforms in 2005. Appreciation of yuan against the US dollar is now 22 percent.

    Cross-border settlement with yuan will help reduce financial losses, especially when renminbi appreciates, Khan said.

    Pilot programs

    A large cross-border trade region, Yunnan province is pioneering yuan settlement as part of a government pilot program.

    "China plays a significant role in Asia's regional economy," said Gong Fangxiong, general manager of JP Morgan's Asian-Pacific branch.

    He noted that Yunnan has advantages over other provinces when it comes to renminbi internationalization.

    "Countries neighboring Yunnan know and trust renminbi, making its use in cross-border settlements natural," Gong said.

    Khan added he was following the pilot program with "keen interest."

    (China Daily 08/20/2010 page19)

     

    久久精品?ⅴ无码中文字幕 | 日本欧美亚洲中文| 少妇人妻无码精品视频app| 中文字幕乱码无码人妻系列蜜桃| 无码国产精品一区二区免费式芒果 | 亚洲精品无码鲁网中文电影| 亚洲AV永久无码精品网站在线观看| 久久中文骚妇内射| av无码免费一区二区三区| 精品无码免费专区毛片| 日韩乱码人妻无码中文字幕久久 | 国产Av激情久久无码天堂| 中文字幕人妻无码一夲道| 最近最新中文字幕高清免费| 亚洲一级特黄无码片| 亚洲精品人成无码中文毛片| 精品久久久久久无码中文字幕一区| 中文字幕不卡亚洲| 中文字幕一区二区三区在线观看| 无码av中文一二三区| AV大片在线无码永久免费| 秋霞无码一区二区| 亚洲国产精品无码久久久不卡| 精品人妻无码区在线视频 | 欧洲精品久久久av无码电影| 亚洲va无码手机在线电影| 国产成人无码AV一区二区 | 在线天堂中文在线资源网| 中文日韩亚洲欧美字幕| 免费a级毛片无码免费视频| 精品人妻少妇嫩草AV无码专区| 国产精品无码国模私拍视频 | 蜜桃臀无码内射一区二区三区| 野花在线无码视频在线播放| 成人午夜福利免费无码视频| 国产成人无码AV一区二区在线观看| 免费无码又爽又刺激网站| 最新中文字幕av无码专区| 中文一国产一无码一日韩| 亚洲AV综合色区无码一区| 无码一区二区三区|