Hong Kong's Offshore Rmb Market Development

Recent years, China's trade with other countries has been close day by day, there's foreign trade surplus every year. On one hand, the huge surplus shows China's economy has been more prosperous, makes the international social impact of China rise, on the other hand, it makes China's RMB face the pressure of appreciation and excess liquidity. As China's legal tender, RMB's international fame has been improved. Some Chinese trade partner countries start to use RMB as settlement currency, RMB even been used in some adjacent countries. If the outside of RMB flow reaches a certain size, it will objectively require an offshore market to handle the related businesses. With Hong Kong and China's special political relationship, we can make good use of Hong Kong as an international financial center, develop offshore RMB business, to establish an offshore RMB financial market, and promote economic development.This article first introduces the basic theory of mature offshore in order to develop offshore finance of RMB as a reference standard. Then based on the trend of internationalization of RMB, analyze the need for the development of offshore RMB; based on the outside RMB the prospects supply and demand analysis of the financial markets to establish the feasibility of an offshore RMB financial market; combination of our existing international financial Center strengths, Hong Kong and in the field of economic ties with China come to Hong Kong is to establish an offshore RMB business centers of the best location. Then, introducing offshore RMB business in Hong Kong's current development situation and further development of the problems faced. Finally, concluded with a broad vision of the development of the RMB offshore business, and the resolution of the related issues in the development process of the RMB offshore.The conclusion is that in order to establish an offshore RMB financial market, during the development of offshore RMB business in Hong Kong, China must step by step, make sure every step is appropriate and successful.