ECB Officials Actively Evaluate RMB Internationalization

Luxemburg, member of the Executive Committee of the European Central Bank and Eve Mersch, governor of the Central Bank of the Central Bank of the central bank, spoke highly of the achievements and prospects of "a href=" //www.sjfzxm.com/news/index_c.asp "RMB < /a > internationalization on 26 th, and considered that the reform of financial market promoted by China is of great significance to the internationalization process of speeding up the RMB." P "

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In a keynote speech at the "RMB forum" held by Luxemburg on the same day, Mr. P said that although the internationalization of RMB is still in its infancy, the renminbi is developing from an international trade settlement currency into an investment currency, and is rising rapidly in the direction of becoming an international reserve currency.

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< p > > it is predicted that "RMB a href=" //www.sjfzxm.com/news/index_c.asp "> trade activities < /a > will continue to increase, and new offshore RMB market will also emerge and offer various attractive RMB products to foreign investors.

He added: "the large multinational companies in the euro area have a wide range of Chinese businesses and have significant interest in Renminbi business."

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< p > however, there are still some obstacles and risks in the integration of RMB into "a href=" //www.sjfzxm.com/news/index_c.asp "international financial system < /a >.

In order to overcome these obstacles and risks, Mr Merck believes that the reform of China's financial market will play a key role, including opening up capital markets to optimize resource allocation, promoting cross-border investment and capital flows.

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< p > Mr Ma warned: "market participants should be clear that the opening process of RMB will not be without waves, nor should it be able to avoid big fluctuations completely". "China and international investors should have a realistic assessment of cross-border investment risks and build a firewall".

He suggested: "China should continue to promote the reform of the economy, especially the financial sector, and follow a clear and excellent reform path to minimize risks and strengthen trust."

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< p > in recent years, the internationalization of RMB has been advancing rapidly.

By the end of 2013, 15% of China's external merchandise trade was settled in RMB.

According to the report of the global bank Financial Telecommunication Association (SWIFT), the RMB was ranked the ten largest payment currency in the world for two consecutive months in November 2103 and December.

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The Central Bank of China and the European Central Bank signed a 350 billion yuan /450 billion euro currency swap agreement in October 2013. P

At present only in Europe, London, Paris, Frankfurt and other cities are actively seeking to become offshore RMB trading centers.

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