Measuring Of The Currency Anchor Effect Of The RMB In The Asean Region

With the concepts of China-ASEAN Free Trade Area of the upgraded version、diamond ten years between China and ASEAN and China-ASEAN community of fate putting forward, China-ASEAN regional economic integration is facing a more ambitious development blueprint. In this context, the internationalization of RMB is on the agenda again, RMB internationalization issues become the hot topic in the ASEAN region. According to the process of international currency, the currency has become an anchor currency within a region is one of the indispensable step, therefore, whether the RMB in the ASEAN region can achieve regional international and whether it has become an anchor currency in the ASEAN region is becoming academic concerns.In this context, the article on the basis of previous studies on measuring the effect of the RMB currency anchor in the ASEAN region. First, this paper introduces the RMB as the ASEAN Regional monetary anchor theory, the main have the theory of Optimum Currency Areas and the theory of Currency Competition, and on the basis of the theory to comb from the Angle of China’s own strength, analyzes the feasibility of RMB ASEAN. Second, this paper discusses the exchange rate regime of ASEAN region and the competitiveness of the RMB and the major international currencies, and analyses from the perspective of regional economic development, the RMB has become the opportunity of the ASEAN countries’ currency anchor. On this basis, this paper mainly measures the currency anchor effect of the RMB in the ASEAN region. This process is divided into three stages from January 2000 to November 2014, taking China’s financial reform in 2005 and the financial crisis in September 2008 as the dividing line. The main process of the data is the stationary test, the lag choice, the Grainger causality test and the impulse response analysis and the model robustness analysis. Based on the above research, this paper finally proposed the path and policy recommendations of promoting the RMB to become ASEAN currency anchor.