The RMB Exchange Rate Regime Reform And The Path Choice Of Maintaining Financial Security

Exchange rate for any other country in the open economy is the mostfundamental economical variables, it has a decisive role in the economy. Since the1980s various currency crisis happened,in2008by the transformation of the globalfinancial crisis triggered by the subprime crisis to the Greek debt crisis triggered bythe crisis in2009, in every crisis behind the formation and transmission the exchangerate is an important factor.This paper first reviews several major reform of RMB exchange rate system,final implementation based on market supply and demand, reference to a basket ofcurrencies, the managed floating exchange rate system, promoting the marketizationof the RMB exchange rate in China,it has the important significance. In this context,the research results of domestic and foreign existing change to our country financesecurity analysis of RMB exchange rate system, generally on the relationship betweenthe exchange rate system and the transition of financial security in China and theinteraction mechanism from the perspective of macroscopic and microscopic,macroscopic aspect mainly from the theoretical explanation, on the one hand fromChina and Europe and America international trade imbalance of exchange ratechanges will bring influence to China’s foreign exchange reserves; on the other hand,from the financial crisis will affect a country’s economic level and even endanger thesurrounding area that our country although no serious financial crisis but must remainvigilant height, guard against all kinds of financial risks. And in the microcosmicaspect using the VAR model to study the influence of Chinese large bank loans bydomestic interest rate and exchange rate fluctuations, while the exchange ratemovements affect the than the role of interest rates, but we should strengthen the riskmanagement of the exchange rate and interest rate, to avoid the choice of exchangerate regime and improper arrangement to society of our country economy bringsnegative effect. Finally, put forward the main measures to improve the financialsecurity in the RMB exchange rate system reform at the same time and its futuredevelopment put forward their owe views.