Proceedings of the 2018 International Conference on Education, Economics and Social Science (ICEESS 2018)

The Effects of RMB Internationalization on Balance of Payments in China

Authors
Yinghua Ren, Xiaomin Yuan, Wanru Zhao
Corresponding Author
Yinghua Ren
Available Online October 2018.
DOI
10.2991/iceess-18.2018.43How to use a DOI?
Keywords
RMB Internationalization, Balance of Payments (BOP), RMB real effective exchange rate, interest rate
Abstract

This study investigates the effect of RMB Internationalization on balance of payments (BOP) by using structural vector autoregressive model (SVAR) with data from January 2010 to December 2017. Empirical evidence shows that RMB Internationalization and RMB real effective exchange rate is the Granger causality of CA via interest rate. The appreciation of RMB real effective exchange rate is the main reason for the decease of the CA surplus in recent years. To FA, RMB internationalization shock is the most important source in the decrease of FA surplus. It indicates RMB exporting through FA is increasing as the acceleration of RMB internationalization. We further recommend that it is crucial for relevant departments to monitor the relationship between RMB Internationalization and the balance of BOP.

Copyright
© 2018, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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Volume Title
Proceedings of the 2018 International Conference on Education, Economics and Social Science (ICEESS 2018)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
October 2018
ISBN
978-94-6252-594-8
ISSN
2352-5398
DOI
10.2991/iceess-18.2018.43How to use a DOI?
Copyright
© 2018, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Cite this article

TY  - CONF
AU  - Yinghua Ren
AU  - Xiaomin Yuan
AU  - Wanru Zhao
PY  - 2018/10
DA  - 2018/10
TI  - The Effects of RMB Internationalization on Balance of Payments in China
BT  - Proceedings of the 2018 International Conference on Education, Economics and Social Science (ICEESS 2018)
PB  - Atlantis Press
SP  - 170
EP  - 178
SN  - 2352-5398
UR  - https://doi.org/10.2991/iceess-18.2018.43
DO  - 10.2991/iceess-18.2018.43
ID  - Ren2018/10
ER  -