The Driving Force Of The Offshore RMB Market In Hongkong To The Internationalizationg Of RMB

The launch of the RMB settlement of cross-border trade in 2009 activated the offshore RMB market in Hong Kong,also officially opened the RMB internationalization process.The internationalization of RMB and the CNH market achieved remarkable results quickly under the scholars' discussion and inspired more discussion among scholars on the offshore market and the path of the internationalization of RMB.From a practical perspective,the RMB offshore market in Hong Kong driving the internationalization of RMB is obvious.Under such a circumstance,this paper will execute theoretical and empirical analysis on driving force.Firstly,this paper has reviewed literature and theory on offshore RMB market,the internationalization of RMB and the driving force of offshore RMB market to the internationalization of RMB.Secondly,this paper has introduced the current situation of the internationalization of RMB and the history and development of offshore RMB market,then from three aspects to analyze the driving force of offshore RMB market to the internationalization of RMB which are the carrier of RMB cross-border trade settlement and the reflection of RMB internationalization,the interactive collaboration of the offshore and onshore markets promotes the RMB internationalization,and the regional influence capability of the offshore market connecting both onshore and international markets The empirical test has proved the direct and indirect driving force of offshore RMB market to the internationalization of RMB,1)Hong Kong offshore RMB currency market driven by the RMB internationalization significantly.2)The impact of the offshore market on the onshore market is effective and significant,the internationalization of the RMB continues to push against the backdrop of onshore market exchange rates,interest rates between the linkage effect is obvious,closely related to the offshore market and international relations.3)Offshore RMB exchange rate has gradually played its own influence.Lastly,this paper has re-considered the current situation of the internationalization of RMB and the bottleneck of offshore markets related with theoretical and empirical analysis,and has made policy recommendations on offshore markets and the internationalization of RMB.This paper systematically explores the driving effect of Hong Kong offshore RMB market on three aspects of RMB internationalization.This paper finds out thebottleneck of the development of RMB offshore market in Hong Kong by the present situation analysis,hoping the research of this paper will be helpful to the construction of offshore RMB market and the steady progress of RMB internationalization.