China Central Bank Foreign Exchange Intervention Policy

The article starts the discussion from the "object of the intervention to the exchange rate ",and points out the object of "stabilizing exchange rate only" is unilateral. The author analyses and appraises the intervenient patterns and effects of China's central Bank's exchange intervenient practice from 1994,and finds out the difficulties,such as the institutional restriction,the intervenient means and the conflicts between exchange intervenient practice and internal economic policy,and describes the countermeasures to these difficulties. On the base of above all,the article puts the exchange intervene to the whole of internal and external economic balance to discuss the harmony between exchange rate policy and internal monetary and financial policy,and makes the conclusion that our Central Bank should widen the range of exchange rate waving,loose the exchange control generally,devalue the RMB to cooperate the internal monetary and financial policy. AS to external economy ,the author thinks our Central Bank should enhance the cooperation with the international economy,and describes the relationship between the exchange intervention and our country's join in WTO .the relationship between the exchange intervention and the opening of our country's capital item.