Analysis On The Status And Function Of Renminbi In The East Asian Currency Cooperation

The East Asian currency cooperation is the vital realistic question which East Asia and even the international society pay attention urgently need to solve. The Chinese economic status rises unceasingly, the value of Renminbi is strong gradually, the function of China which displays in the East Asian economy cooperation is getting bigger and bigger, the receptivity of Renminbi may be also getting higher and higher in East Asia. Therefore, it is necessary to conduct the comprehensive thorough fundamental research to it, thus inquiry into the East Asian currency cooperation realistic way and function of the Renminbi.The financial crisis in Asia makes East Asian various countries to realize the necessity of the currency cooperation between the East Asia countries, which will be helpful to every countries' coordinated currency financial policy and the resistance financial crisis. In above knew together in the foundation, East Asian various countries take each measure positively, for instance they had signed"the Chiang Mai agreement", set up"Asia bond fund", established the common foreign exchange reserve fund and so on, these measures promoted the East Asian currency cooperation advancement progress positively.In view of the fact that the East Asia economy and the political present situation, at present , the most realistic choice in the region is the multiple currency basket way. But in the multiple currency baskets, each kind of currency's choice must decides according to the various countries' economic potentiality and to the East Asia influence. As the biggest developing country of East Asia, China's economic stability explosive growth and the value Renminbi is strong gradually in recent years, the Renminbi should become the multiple currency basket's important component; Japan is the most developed country of the East Asia economy, the Japanese Yen already becomes the international currency, East Asian other countries has the very big dependence to the Japanese economy, therefore, the Japanese Yen should also become one of important curs; South Korea and Singapore are two members of"four little dragons of Asia", there economic development are rapid, the opening to the outside world degree enhances unceasingly, and they gave the very big pushing effect to East Asia's economic development. Therefore, won and the Singapore dollar should also be the multiple currency basket's important content; Association of Southeast Asian Nations interior several great nations, for instance Thailand, Indonesia, Malaysia and so on, also influence the Association of Southeast Asian Nations economy's development. Thus it may be known, the East Asian multiple currency baskets should include Renminbi, Japanese Yen, won, Singapore dollar, Indonesian Rupiah, the Malaysian Yuan, the Thai bhat with the Philippine peso.Comparing the GDP rate of increment of Chinese and the East Asian other country's, trade and the investment analysis between China and the region in other country's, the receptivity analysis of Renminbi in East Asian other countries and the area, we can get the conclusion that the Renminbi occupies the main status in the East Asian multiple currency baskets, and plays the main promotion effect in the East Asian currency cooperation. Profits from Japanese scholar Eiji Ogawa as well as other scholar's viewpoint, we take GDP, the volume of trade, the amount of investment and the foreign exchange reserve as the targets and give the corresponding weight to them, and calculate the proportion of Renminbi as well as other currency in the multiple currency baskets, thus ,we obtain the conclusion that the Renminbi occupies the main status in the East Asian multiple currency baskets, next for Japanese Yen, once more for Singapore dollar and won.Although the difference of Renminbi and the Japanese Yen proportion are not very big, but the economical intercourse between Chinese and East Asian other countries is getting more and more frequently, the Renminbi has high acceptance in East Asian other countries, the trade and the amount of investment between Chinese and the East Asian region also increase year by year, China's foreign exchange reserve is abundant, which may deal with the risk suddenly, therefore, China is the East Asia economic development stabler and the dependence of East Asian other countries to Chinese and Renminbi strengthens gradually; But the Japanese economic development was quite still slow, the Japanese Yen foreign exchange fluctuation scope is very big, in addition Japan's aggression nature, the East Asian country has the very big resisting thought to Japan as well as the Japanese Yen. Therefore, the Renminbi will occupy the main status in the multiple currency baskets, and its status and its function will strengthen gradually, but the Japanese Yen status and the function gradually will drop.Although China participates in the East Asian currency cooperation positively and gives the very big promotion effect, the Renminbi also occupies the main status in the East Asian multiple currency baskets, but the RMB rate reform is still imperfect, the Renminbi capital project is not free exchange, China's financial market still very frail. Therefore, in order to playing China's main promotion effect in the East Asian currency cooperation, we should consummate the domestic financial market unceasingly, further consummate the RMB rate system reform, realize the Renminbi capital project free exchange as soon as possible, and advance the Renminbi's regionalizing positively, and play the great nation proper role in the East Asian currency cooperation.