China'S Ministry Of Commerce: RMB Exchange Rate Expansion Will Expand RMB Usage

< p > > China a href= "http://www.91se91.com/news/index_c.asp" > Ministry of Commerce < /a > in the column attached to China's foreign trade situation report in the spring of 2014, it indicated that the floating rate of RMB exchange rate increased and increased the uncertainty of import and export profits of enterprises.

For this purpose, foreign trade enterprises should actively adapt to, accelerate the development of new competitive advantages, expand the use of RMB in import and export trade, rationally use exchange rate hedging tools, and enhance the ability to withstand and evade exchange rate risks.

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< p > the Ministry of Commerce said that the fluctuation of the RMB exchange rate from 1% to 2% will help expand the breadth and depth of the foreign exchange market and form a more reasonable and balanced market exchange rate. This will help enterprises and residents pay more attention to the price signal function of the exchange rate.

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< p > < < a href= "http://www.91se91.com/news/index_c.asp > foreign trade situation < /a >, the report analysis said that in 2013, faced with severe and complicated domestic and international environment, the Chinese government promptly introduced policies and measures to promote stable growth and import and export structure adjustment, stabilized the confidence of enterprises, promoted the expansion of foreign trade scale, increased share and optimized the structure.

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< p > the report thinks that the trend of world economic recovery tends to improve in 2014, and China's economy starts smoothly. China's foreign trade has the conditions to achieve stable growth.

However, China's foreign trade faces many difficulties and challenges, and its serious and complicated situation can not be underestimated.

In the absence of major changes in the external environment, China's imports and exports in 2014 will remain relatively stable throughout the year.

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< p > the report points out that in the coming period, China will thoroughly implement the policy of stabilizing foreign trade that has been promulgated, further improve the level of trade facilitation, create a more relaxed environment for foreign trade enterprises, tap new export growth points, vigorously increase the added value of export products, optimize the structure of foreign trade, actively expand the import of domestic shortage products, and promote the sustained and healthy development of China's foreign trade.

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< p > below is China's < a href= "http://www.91se91.com/news/index_c.asp" > foreign trade < /a > situation report (spring 2014). The key points of the column entitled "RMB floating rate Widening" are: < /p >

< p > the people's Bank of China [micro-blog] announced that the floating rate of RMB against the US dollar (6.2452, -0.0138, -0.22%) in the foreign exchange market was expanded. Since March 17, 2014, the floating rate of RMB against the US dollar in the inter-bank spot foreign exchange market has expanded from 1% to 2%.

This is the third time since the reform of the RMB exchange rate formation mechanism in July 2005, the Chinese RMB bank has expanded the floating rate of the RMB against the US dollar.

The first two were in May 21, 2007, the floating rate of RMB exchange rate expanded from 0.3% to 0.5%, and the floating rate in April 16, 2012 expanded to 1%.

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< p > exchange rate is an important variable affecting the participation of a country's enterprises in international division and cooperation, and also an important lever of macroeconomic regulation and control.

From the fixed exchange rate to the floating exchange rate, the direction of the exchange rate changes from one direction to two directions. The floating rate of the exchange rate fluctuated from small to large, reflecting the deepening of the marketization reform of the RMB exchange rate formation mechanism.

The adjustment of the RMB exchange rate fluctuation will help expand the breadth and depth of the foreign exchange market as a whole, give full play to the decisive role of the market in the formation of exchange rate, and form a more reasonable and balanced market exchange rate. This will help enterprises and residents to pay more attention to the price signal function of the exchange rate and improve the allocation efficiency of resources at home and abroad.

The people's Bank of China [micro-blog] said it would continue to improve the formation mechanism of RMB exchange rate marketization, further play the role of the market in the formation of RMB exchange rate, enhance the two-way floating elasticity of RMB exchange rate, and maintain the basic stability of the RMB exchange rate at a reasonable and balanced level.

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< p > financial institutions should develop more exchange rate hedging tools suitable for import and export enterprises and reasonably priced prices, so as to help enterprises avoid exchange rate risks and enhance the ability to serve the real economy.

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