The Diversification Of Reserve Currency Will Be The Result Of Market Choice.

In the past few years, under the impetus of the market, the internationalization of RMB has been very fast. In the future diversified international monetary system, we have confidence in the position of RMB in P.

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< p > Pan Gongsheng made the above statement at the Symposium on the establishment of the Bretton Woods system 70th anniversary and the reform of the international monetary system.

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< p > Pan Gongsheng said that the core of the international monetary system is reserve currency. The current international reserve currency is the result of the long-term evolution and market selection of the international political and economic system, playing an important role in the global monetary and financial system and trading system, and facilitating the development of World Trade and investment.

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< p > to improve and reform the current international monetary system, Pan Gongsheng said that we should take account of the short-term and long-term, realistic and ideal goals, and step by step.

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< p > he said that in the short term, the major reserve currency issuing countries should implement their own macroeconomic policies, establish external supervision and restraint mechanisms, and strengthen supervision over the economic and financial policies of the major reserve currency issuers.

In addition, we need to strengthen financial and monetary cooperation at the global and regional levels, strengthen global liquidity testing, and adopt macro prudential policies, including capital controls, if necessary.

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< p > "reserve currency diversification" is a reform direction worth exploring.

Compared with the existing international monetary system, the diversification of reserve currency provides more choices for the market players and is conducive to diversifying risks.

Pan Gongsheng also said that at the same time, competition and checks and balances between different reserve currencies could also form a market incentive constraint for reserve currency issuing countries, which would enhance the supply of international reserve assets and alleviate the pressure of traditional currency issuing countries.

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< p > "reserve currency > a href=" //www.sjfzxm.com/news/index_cj.asp "> diversification < /a > will be the result of market choice. In the past few years, the internationalization of RMB has been developing very fast in the past few years, and in the future, the industry and academia will have great confidence and expectation in the future diversification of the international monetary system.

He said.

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< p > it is worth mentioning that as early as March 2009, Zhou Xiaochuan, governor of the Central Bank of the central bank, once wrote that it is necessary to create an international reserve currency that is decoupled from the sovereign state and can maintain the long-term stability of the currency system. This is the ideal goal of the reform of the international monetary system.

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< p > Pan Gongsheng said that the establishment of a super sovereign currency is faced with many obstacles and difficulties in practice. It requires the international community to study and design it in a more technical and in-depth way, and to accumulate more consensus in politics.

In order to study and explore this aspect, it is of great practical significance to expand the use of special drawing rights (hereinafter referred to as "SDR").

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Wu Xiaoling, vice chairman of the finance and Economic Commission of the National People's Congress, attended the meeting, saying that on the one hand, the fixed exchange rate system under the Bretton Woods system lacked the elasticity of adjustment, and Member States' a href= "//www.sjfzxm.com/news/index_cj.asp" > macroeconomy < /a > the right to subsidized was restrained.

On the other hand, with the intensification of international capital flows and the decline of the effectiveness of capital controls in various countries, the cost of adjusting the balance of payments in countries under the Bretton Woods system has become increasingly prominent.

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< p >, she said, the reason why the international a href= "//www.sjfzxm.com/news/index_cj.asp" > economic structure < /a > is unbalanced is due to the lack of "monetary anchor" in the international monetary system, the lack of restraint on financial discipline, and the effective restriction on the abuse of currency rights.

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"P" "so I also put forward a daydream. When gold is not allowed to restrict currency issuance, it is possible to create a basket of economic indicators that can seriously impose global financial discipline, as a monetary anchor, to constrain financial discipline and the impulse to spoil currencies."

Wu Xiaoling proposed.

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< p > Wu Xiaoling suggested that the currency anchor could be called a super sovereign currency for a time, and on this basis, we should move towards the economic index basket.

How the future super sovereign currency should be formed and allocated, how to expand its usage and improve the composition of SDR can be discussed in the future if SDR becomes one of the optional super sovereign currencies.

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