China’s campaign to position internationalize the RMB is moving forward despite depreciation concerns and a Beijing effort to limit capital outflows. Economists, analysts and PBOC officials are upbeat about the current and future pace of the so-called “yuan internationalization” campaign, which began in 2009, although they also agree that it’s a long-term process. In late April, PBOC Deputy Governor Fan Yifei told an audience in Australia’s financial hub Sydney that China would continue to push for the currency’s internationalization, and that market forces would play a “decisive role” in the process. Caixin has learned that new government policies concerning cross-border use of the yuan are expected to be announced during a Belt and Road summit scheduled for Sunday and Monday in Beijing. Analysts said they think the government plans to fine-tune its strategy by shifting the focus from expanding the yuan’s use for international trade settlements to doing more yuan-based financing and investment overseas.
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