Does the offshore market matter to China's exchange rate policy?

被引：0
|
作者：
Su, Guanyu [1 ]
Qian, Junhui [1 ]
机构：
[1] Shanghai Jiao Tong Univ, Antai Coll Econ & Management, Shanghai 200030, Peoples R China
来源：
APPLIED ECONOMICS LETTERS | 2023年 / 30卷 / 13期
基金：
中国国家自然科学基金;
关键词：
Exchange rate policy; RMB; central parity rate; offshore market; IMPACT;
D O I：
10.1080/13504851.2022.2081661
中图分类号：
F [经济];
学科分类号：
02 ;
摘要：
The central parity rate (CPR) is a key instrument for the People's Bank of China (PBC) to manage the Renminbi (RMB) exchange rate. The current method of CPR formation rests on a gauge of the 'demand and supply conditions' in the foreign exchange market. But there are two markets for RMB, the onshore market for CNY and the offshore market for CNH. In this article, we study the role of the offshore market in the CPR formation mechanism and find that changes in CNH have statistically significant predictive power on CPR, especially after the '8.11' reform of 2015. This suggests that PBC does consider the conditions in the offshore market as well as those in the onshore market.
引用
收藏
页码：1734 / 1737
页数：4
相关论文
共 50 条
  • [41] THE RISK CONTAGION EFFECT OF RETURN VOLATILITY BETWEEN CHINA'S OFFSHORE AND ONSHORE FOREIGN EXCHANGE MARKET
    Meng, Zhaosu
    Yin, Kedong
    Zhang, Yan
    Dong, Xun
    [J]. ROMANIAN JOURNAL OF ECONOMIC FORECASTING, 2017, 20 (04): : 5 - 21
  • [42] Does the different sectoral coverage matter? An analysis of China's carbon trading market
    Lin, Boqiang
    Jia, Zhijie
    [J]. ENERGY POLICY, 2020, 137
  • [43] Does monetary policy matter in China? A narrative approach
    Sun, Rongrong
    [J]. CHINA ECONOMIC REVIEW, 2013, 26 : 56 - 74
  • [44] Exchange rate policy when the labour market exhibits hysteresis
    Barry, F
    [J]. MANCHESTER SCHOOL, 1998, 66 (05): : 532 - 549
  • [45] Exchange Rate Policy and Sovereign Spreads in Emerging Market Economies
    Gumus, Inci
    [J]. REVIEW OF INTERNATIONAL ECONOMICS, 2011, 19 (04) : 649 - 663
  • [46] Real exchange rates and hysteresis: does nominal exchange rate volatility matter?
    Jenkins, MA
    [J]. APPLIED ECONOMICS LETTERS, 1999, 6 (03) : 165 - 167
  • [47] Toward a market-oriented interest rate policy in the transformation of China's economy
    Ping, X
    [J]. INTEREST RATE LIBERALIZATION AND MONEY MARKET DEVELOPMENT: SELECTED COUNTRY EXPERIENCES, 1996, : 145 - 154
  • [48] THE EXCHANGE RATE POLICY OF MEXICO AND CHINA IN THE GLOBAL ECONOMY
    Garcia, Juan Gonzalez
    Contreras, Jessica Jocelin Garcia
    Novela, German Osorio
    [J]. INVESTIGACION ECONOMICA, 2022, 81 (320): : 131 - 155
  • [49] China's exchange rate regime
    Das, Dilip K.
    [J]. ASIA PACIFIC BUSINESS REVIEW, 2017, 23 (01) : 154 - 156
  • [50] Exchange rate regimes: Does what countries say matter?
    Genberg, H
    Swoboda, AK
    [J]. IMF STAFF PAPERS, 2005, 52 : 129 - 141
12345