China Tells

It is not a secret that China government wants to push the internationalization process of RMB and change the USD dominated world trade. It is easier said than done. However, there are material steps being taken through Hong Kong, which serves as a bridge between China and international community (See Article from Fortune). As Hong Kong Dollar is freely convertible to world currencies, it is a perfect channel for RMB to go through a progressive journey for afloatation in the end. I think it is a very smart strategy from China’s government to achieve the goal step by step: they are particularly good at making progressive change without causing any unnecessarily dramatic change to the daily life of people. With the current pace of China’s economy development, it looks very likely that RMB will eventually become the major curency in East Asia and one of the world’s three dominant currencies along with USD and EUR.

中国政府想要在全世界推行人民币国际化的决心路人皆知。问题是如何实现这一目标。目前看来，主要的突破口在香港。香港作为自由金融地区贸易中心，有着得天独厚的条件作为连接中国大陆和外部世界的桥梁。最近一系列推行人民币自由化的措施都选择在香港进行自然有其道理。长期来看人民币很有可能和美元欧元三分天下，正合了一句老话：合久必分，分久必合。