Further Opening Up Of China's Capital Projects

To realize the full convertibility of RMB is the target of our country's reform of exchange regulation. And it is also the question when our country joins the world economy. After RMB current account convertibility was carried out in 1996, people expect to realize RMB capital account convertibility. Because the financial crisis after 1997 had negative effect to world economy, the complete convertibility of RMB hasn't been realized even today. But the eleventh five-year planning of Central Committee of the Communist Party of China proposes clearly that the realization of the capital account of RMB exchangeable should speed up progressively. This means that the process of exchangeable capital account of RMB to be expected to accelerate, and the exchangeable capital account in our country is going on systematically according to frame which was ordered by the policy-making. But there must be a lot of problems in the process of further open-up.In the preface of this paper, it describes the background under which the problems were produced, the current situation with opening the capital account and some problems that will be met in the future. And it also narrates the positive progress which China has made in promoting the capital account to be opened during these years. The text of this paper is divided into four chapters. Chapter one defines the conception of the liberalization of the capital account at first, and then does theoretical analysis of the liberalization of the capital account. Chapter two discusses the course of the liberalization of the capital account in the developed and developing countries and their choices, taking Japan and Korea as an example. And then summarizes the experiences in the course of the capital account in the developing and developed countries. Chapter three starts with the two aspects of the...