The (reporter Peng Yang Zhao Bai south) of the People’s Bank of China financial institute Zhou Chengjun development top BBS in China on March 20, 2021, said at the meeting of the people’s bank has pulled out of the norm of the RMB exchange rate intervention, significantly improve the flexibility of the RMB exchange rate and fluctuation range, “this is to make the yuan’s exchange rate to help Chinese enterprises on a global scale to better realize the optimal allocation of resources of a price signal”.
Zhou Chengjun said that in this process, it will not only promote the optimal allocation of resources, but also promote the welfare of all countries that have close investment and trade ties with China, which is a multi-win pattern. Not only that, but in the process of promoting the internationalization of the RMB, it can also further help the U.S. dollar to reduce its responsibilities and pressure as a major international reserve currency.
Zhou Chengjun stressed that the internationalization of the RMB is not an attempt to replace the US dollar, but to better work with the US dollar and other major international currencies to promote the diversification of the international monetary system, and better promote the realization of a better allocation of resources within the scope of globalization. In this sense, on the one hand, RMB internationalization is a very important means and measure to adapt to the next step of China’s economic layout of the global supply chain and realize the optimization of value chain and industrial chain. On the other hand, it is also a process of jointly shouldering international responsibilities with the US dollar and other international currencies, further promoting the reform of the international monetary system, and better promoting the optimal allocation of resources on a global scale.