... national security. First and foremost, this relates to Russia, against which a significant amount of financial and trade sanctions have been imposed by the United States and its allies. It is Russia today that is most interested in diversifying global finance. Long-term stakeholders include China. So far, sanctions against China are incomparable with restrictions against Russia. In addition, we are talking mainly about American export controls in the field of high technology, and not about financial sanctions. The latter have so far been ...
... costs and tighten control over the national financial system.
So far, no country has ever succeeded in maintaining global economic leadership without controlling global finance. Since the dollar and the euro stand firm and unshakeable in the global finance system, it is an urgent task for China to take the leading positions in Asia’s finance systems. A successful launch of the digital yuan could subsequently expand its use, for instance, to service transactions of the Belt and Road Initiative. Yet, should the digital experiment fail,...
...
views on this topic in the form of online comments, and academic articles that provide a systematic analysis are few.
At present, most of the academic articles on SWIFT systems in China introduce the SWIFT system from a technical perspective of applied finance.
The Development and Application of the SWIFT in China [
3
] and An Analysis of the Characteristics of SWIFT Correspondence in Banks
[
4
] are among them. And fewer articles focus on the role of the SWIFT system in financial sanctions as a case study in the context of international political and economic ...
... protect its economic interests in an effective manner and exert tangible influence on decision-making processes in the global economy, Beijing needs to participate in those international institutions in which its vote has a decisive role. In this sense, China has high hopes for its recent initiatives to create pan-Asian institutions for monetary policy, finance and economics, such as the BRICS Contingent Reserve Arrangement, the Chiang Mai Initiative Multilateralisation, the BRICS New Development Bank and the Asian Infrastructure Investment Bank.
The opening of the Shanghai International Energy Exchange ...
... Resolve for tea, and India pays in Resolves to South Africa for distillation products.
The merits for accelerating and expanding the scope of NDB are not only inherent in the form of more elasticity for national currencies but also bringing Asia Pacific (China), Eurasia (Europe), India (Sub-Continent), Middle East or West Asia (Iran) Africa (South Africa) and South America (Brazil) together. An immediate intra-continental set of synergies will emerge through issuing bonds, loans and even trade finance.
Some of the GCC countries also share the R in their Rials in KSA and Qatar. But they cannot contemplate being in this league, solely because they are pegged to USD and none has yet faced any of the hardships that some of the key players in this ...
... Zaytsev:
BRICS New Development Bank: From
Private to Public
In light of the above, we believe that it is important to understand the actual scope of China’s involvement and Beijing’s role in AIIB. The first thing that stands out is that it was China’s Ministry of Finance that came up with the idea of AIIB. China’s former Deputy Minister of Finance Jin Liqun was acting President of the Bank during the preparation period before being officially appointed to the post. China’s Ministry of Finance also ...
... of transactions) in yuan will end up being profitable for importers.
Short-Term vs. Long-Term Interests
REUTERS/Aly Song
Kazushige Kobayashi, Manuel A.J. Teehankee:
The AIIB’s Launch Sets the Stage for Supply-
Side Competition in Development Finance
Despite the unprecedented devaluation, it is still too early to talk about a return to the policy of having an undervalued yuan. Representatives from the People’s Bank of China have talked about the prospects of the yuan’s appreciation in the near future. The
significant currency reserves
, along with the trade surplus and stable fiscal position, are designed to ensure that the national currency gets stronger. Rather,...
... markets. The key measures taken include: banning state corporations and private stakeholders from selling their share; having the People’s Bank of China reduce its rates and reserve requirements; implementing a temporary ban on IPOs; and increasing China Securities Finance (CSF) support to $80 billion (CSF is a state institution that provides margin financing to brokers). Expert estimates suggest that the Chinese authorities spent $480 billion bailing the stock market out. The volatility of the market remains however,...
... (million dollars in today’s prices)
Country
2008
2009
2010
2011
2012
2013
Source
Brazil
336,8
362,2
–
–
–
–
Brazilian Cooperation Agency (ABC)
China
1807,57
1947,65
2010,61
2841,4
–
–
Fiscal Year Book, Ministry of Finance of the People’s Republic of China
India
609,5
488,0
639,1
789,8
–
–
Annual Reports, Ministry of External Affairs, Government of India
Russia
220
789
472
514
465
609,6
OECD Development Assistance Committee, Rossotrudnichestvo
South Africa
89,2
119,5
98,4
160,5
151,9
156,...
... is whether the top executives of the new bank, as in the case of the World Bank, can perform their duties with the highest level of professionalism as well as whether they can deliver economic benefits to the beneficiaries as planned.
Enlarging the Finance-Base in the Asia-Pacific Region
South China Morning Post
While the rise of the AIIB might diminish the relative influence of the existing multilateral banks, more competition means more options for beneficiary nations. At the May 2015 meeting of the potential founding members in Singapore,...
