Analysis Of The Role Of High-speed Rail Construction In Central Asia In The Regional Development Of Renminbi

When President Xi Jinping proposed the strategic concept of building the “Belt and Road Initiative”,he adopted innovative ways of cooperation,which enabled the countries along the Silk Road to have closer economic ties,broader cooperation areas,deeper multilateral cooperation,and mutual benefit.Economic and cultural exchanges will promote the in-depth development of economic and trade cooperation between Europe and Asia.Central Asia is one of the western strategic areas with strategic significance in China.It is of great significance for China to expand the development of the western region.The construction and development of high-speed rail in Central Asia will further narrow the distance between China and Central Asian countries and even Europe,and integrate the resources of the central region of Eurasia.In this process,the role of the renminbi will gradually become more prominent.Linking the construction of high-speed rail in Central Asia with the regional development of the renminbi,assessing the problems that the renminbi will face in the future international development,and providing relevant opinions for the regionalization and internationalization of the renminbi,in order to establish the image of China's great power.The internationalization of the renminbi is a process in which the renminbi can cross national borders and circulate abroad,becoming a universally recognized currency for pricing,settlement and reserve.While building the “One Belt,One Road” initiative,it will actively move money and use RMB in the trade link.The circulation of goods will inevitably accompany the outflow of RMB,thus increasing the overseas reserves of the RMB.At the same time,overseas renminbi can flow back to China through renminbi investment in the country and purchase of renminbi bonds,thus forming an international circulation of renminbi,which will gradually accelerate as cross-border trade and financial transactions become active.In this process,the pricing and investment functions of the RMB will be gradually strengthened,and the degree of internationalization of the RMB will continue to deepen.China has made direct investments in high-speed rail construction in Central Asian countries to promote the development of basic transportation facilities in Central Asian countries,and to provide diverse choices for the economic development of Central Asian countries,while also allowing the renminbi to gradually enter the currency trading market of Central Asian countries.However,the renminbi as a foreign currency,entering a large number of foreign markets,will cause a series of chain reactions.How to avoid the risk of RMB in the regional development of Central Asian countries will be the main research direction of this paper.