Premium
China's New International Financial Strategy amid the Global Financial Crisis
Author(s) -
Zhang Ming
Publication year - 2009
Publication title -
china and world economy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.815
H-Index - 28
eISSN - 1749-124X
pISSN - 1671-2234
DOI - 10.1111/j.1749-124x.2009.01164.x
Subject(s) - renminbi , financial crisis , china , liberian dollar , internationalization , government (linguistics) , financial system , international finance , economics , business , foreign exchange reserves , capital account , finance , international economics , international trade , exchange rate , political science , macroeconomics , linguistics , philosophy , law
The Chinese Government has stepped up its drive to reconstruct its international financial strategy after the sub‐prime crisis developed into a global financial crisis in 2008. The main aim of the strategy is to reduce the country's dependence on the US dollar in foreign trade, cross‐border capital flows and foreign exchange reserve management. The strategy can be divided into three tiers: renminbi internationalization, regional monetary cooperation and reconstruction of the international monetary regime. So far, the Chinese Government has fared well in the application of all three tiers. We hold that the Chinese Government should continue in the same direction in a coordinated manner despite various challenges it faces.