A Study On The Systems Of BRICS Emergency Reserve

The rescuing procedure of the International Monetary Fund can hardly protect the interests of developing countries because of its complex formalities. The Trans-Pacific Partnership Agreement led by the USA is changing global trading rules, which, however, keeps the BRICS, important new economies, out of its door. Except China, other members of the BRICS lack of regional financing arrangements, mainly relying on bank loans and other financing channels, and their financial markets also need to mature. It's good for the BRICS to promote the development of their economy and trade and maintain the stability of the BRICS finance that they unite themselves,strengthen financial cooperation, and establish BRICS developing bank and arrange emergency reserves. The arrangements of emergency reserves of the BRICS are good for elevating the market confidence, and jointly dealing with outside shocks. This will play an important role to maintain financial stability of the BRICS and the world economy. The emergency reserve system was just established and there still many legal issues worthy studying. This dissertation conducts a deep, full and systemic research into the BRICS emergency reserve system, with historic,comparative, regulative and comprehensive methods, with a view to make a little contribution to further study of such area.This dissertation is composed of the following seven parts, in addition to the Introduction and Conclusion.Part 1 is the production and legal nature of the BRICS emergency reserve system, which will exam the establishing background and process of the BRICS emergency reserve system, point out the similarities and differences between the BRICS emergency reserve system and the current emergency rescuing systems, and make a conclusion that the BRICS emergency reserve system is not independent and complete.Part 2 is the purpose and function of the BRICS emergency reserve system, through the study of which, pointing out that its main function is to relieve the short term international pressure of revenue and expenditure. This dissertation found its function is simple and specific and therefore is good for the actual practice of the rescue and resolve the problem of revenue and expenditure difficulty quickly.Part 3 is the resource and arrangements of the BRICS emergency reserve system, studying the establishment of the sum each member has promised for the the BRICS emergency reserve arrangements, the monetary unit and the specific arrangements concerned with the funds, pointing out that many resources of funds can be used avoid the shortcoming faced with the members when crisis happens. This part also studied the possibility to use the money in the BRICS emergency reserves to substitute US dollars, stating that the funds promised isn't actually transferred, and the sanction institution should be perfected to avoid the difficulty of money collecting in case of crises.Part 4 is the administrating structure of the BRICS emergency reserve. This part made a comparative study of the similarities and differences between the arrangements of the BRICS emergency reserve and the IMF in names, authorities, members and operation system, stating that the BRICS emergency reserve arrangement should establish a complete overseeing and evaluating institute to monitor the practice of the financial status and rescuing system.Part 5 is the BRICS emergency rescuing system, which studied the establishment of the loan,conditions, purchase and repurchase, procedures of application, extension and examination and approval, and security assurance among other series of specific systems. This part holds that the BRICS should avoid the demanding and complex rescuing formalities of IMF and should take simple and convenient measures and states that the BRICS should arrange complete examing procedures to make sure the financial safety of the loaning members,Party 6 is the responsibility of the BRICS members who violating its obligation, studying the sanction measures and the liability exemption conditions for violation of obligation provided in the Emergency Reserve Arrangement Agreement and the responsibility provided in IMF Agreement, pointing out that the BRICS emergency reserve arrangement should specify the sanction and categorization and degree of liability exemption conditions, and the requirement of establishing overseeing and evaluating institution to monitor the sanction and exemption decisions and public information.Part 7 is the resolving system of the BRICS emergency reserve disputes, studying the practice, construction, inference, violation, termination, and void argument, disagreement and argument methods, pointing out the term of resolving by negotiating should avoid long-time suspending, and the possibility of litigation after the failure of arbitration, and advising theinternational court serve as the litigation instrument for disputes resolving.