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A Research on the Belt and Road Initiatives and Strategies of RMB Internationalization

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  • Xuejun Lin
  • Yefen Xiao
  • Yuan Liang
  • Xiaowen Zhang

Abstract

Some problems exist in current international monetary system, such as dollar dominance and frequent fluctuation of exchange rate, which are not conducive to the development of trade, investment and global economy. Financial crises break out frequently. So we should reform the international monetary system and create a multi-polar international monetary system to regulate dollar conduct by mutual competitions. RMB internationalization is not only favorable to the stability of the world's currency, but also good to China's own development. The Belt and Road Initiative has been bringing more opportunities for the internationalization of the RMB. The Belt and Road Initiative aims to strengthen economic cooperation between China and its neighboring countries and promotes the regional economic prosperity. This strategy provides a good opportunity for China to develop trade, increase investment and expand financial markets. So RMB should take advantage of this opportunity to improve the proportion of RMB trade settlement, increase the amount of RMB investment and financing and accelerate the circulation of RMB, and then steadily push forward the process of RMB internationalization under the premise of controlling risks.

Suggested Citation

  • Xuejun Lin & Yefen Xiao & Yuan Liang & Xiaowen Zhang, 2017. "A Research on the Belt and Road Initiatives and Strategies of RMB Internationalization," Business and Management Research, Business and Management Research, Sciedu Press, vol. 6(1), pages 13-27, March.
    • Handle: RePEc:jfr:bmr111:v:6:y:2017:i:1:p:13-27
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    References listed on IDEAS

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    Cited by:

    1. Aysan, Ahmet Faruk & Kayani, Farrukh Nawaz, 2021. "China’s Transition to a Digital Currency: Does It Threaten Dollarization?," MPRA Paper 110027, University Library of Munich, Germany.

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    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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