2017 International Monetary Forum
2017-07-17 IMI
On the morning of July 15th, the opening ceremony and Press Conference of RMB Internationalization Report 2017 was held, moderated by Guo Qingwang, dean of the School of Finance at RUC. Prof. Wu Xiaoqiu first made an opening remark on behalf of the RUC. He pointed out that the International Monetary Forum has been held for six years, exerting influence on RMB internationalization and global finance, and helping to improve the global monetary system and promote the reform of the international financial structure. Wu Xiaoqiu believed that China's financial sector has entered a major historical period of transition, mainly in the following three points: first, China's financial structure is quietly undergoing historical adjustments and changes. The prominent sign of this is that China’s financial assets gradually shift from focusing on financing to attaching equal importance to investment and financing. At the same time, China's financial risk structure is also changing. In the past, the most severe financial risk in China's financial system was capital shortage. So the basic criteria for regulation is capital adequacy. At present, the problem of a lack of transparency also begins to arise; second, technology is exerting profound influence on China's financial sector, and will largely disrupt traditional financial theories, propelling a fundamental change in the financial landscape; third, Chinese financial institutions are becoming internationalized, with growing impact and rising status in the world. Wu Xiaoqiu highly praised China's regulatory tolerance that allows the financial institutions to explore development paths. He stressed that China should adapt to changes, promote the reform of financial structure and expand the application of technology in the financial sector.
From 2012 to 2016, the RMB Internationalization Report conducted researches on the RMB internationalization index, the changes in the global trade pattern, the construction and development of the RMB offshore market, the monetary strategy under the BRI, currency internationalization and macro financial risk management. This year, the report themes on strengthening the financial transaction function of RMB.
After that, Wang Zhongmin, Yaseen Anwar, Chang Junhong, Anoop Singh and other guests delivered keynote speeches.
Wang Zhongmin identified with the ideas and views in the Report. At the same time he provided more insights from the perspective of "alternative paths of RMB internationalization". He pointed out that there are several levels of RMB internationalization and the basic market logics. In terms of trade, China is the most fully marketed country, but it only uses the role of money at the most basic level. He believed that in the context of BRI, RMB internationalization should be converted from trade to infrastructure, long-term industry and other aspects of investment, thus expanding the RMB transaction volume, magnitude and size. He stressed that China's financial infrastructure is not sound enough, and the domestic market derivatives, alternative investment tools need to be developed, thus promoting the financial deepening and the better management of risks.
In his speech, Yaseen Anwar said that the BRI is a global initiative that would enhance regional connectivity and promote global trade and economic growth. The goal of the BRI is to achieve global economic recovery, build a sound financial infrastructure, eliminate financial structural imbalances, and restore market confidence in the global monetary system. We need to promote economic globalization and regional integration, break trade protectionism and enhance economic inclusiveness. He stressed that infrastructure construction requires cooperation between countries which should implement more reasonable regulatory policies. Major financial institutions should provide the appropriate financial support to provide employment opportunities and promote investment diversification. He pointed out that China and other countries in the Asia-Pacific region have a similar economic platform, the ability of self-sufficiency, and have become the engines of the global economy.
Chang Junhong believed that "ASEAN 10+3" region is the most dynamic region with the largest economies in the world. China in the past decade has been an important driving force for economic growth in the region, and has promoted the process of economic integration. China and its RMB have played an important role in regional trade, investment and financial markets, and have helped maintain the financial stability in the region. China should make good use of the "Belt and Road" initiative to boost cross-regional investment. At the same time, China should work with other countries in the region to promote the reform of the international financial system, strengthen risk prevention and risk control, develop new financial instruments and adapt to the new economic situation.
Professor Anoop Singh argued that the impact of RMB internationalization should be evaluated through recent market changes. IMF decided to include the Yuan into the SDR basket, indicating that RMB internationalization has reached the basic requirements and standards, and made significant progresses. RMB’s inclusion into the SDR basket is conducive to accelerating the structural reform of China’s market, reducing dependence on credit, further boosting consumption and powering market growth. He pointed out that RMB internationalization is still in its infancy and requires further structural transformation and adjustment of the economy, balanced policies, a more sound financial system and financial market. He believed that the central bank should assume the responsibility to respond to changes in the market, implement appropriate capital controls, interventions and exchange rate regulation.
On the afternoon of July 15th, the Seminar on Cross-border Financial Cooperation under Belt and Road Initiative and Inauguration of Cross-border Financial 50 Forum was held by IMI and the Modern Bankers magazine. Li Zheping, Executive Chief Editor of Modern Bankers, presided over the event.
Vice president Liu Yuanchun said in his opening remarks that with the Belt and Road Summit and the introduction of a series of cross-border financial policies, China's financial market is in demand for more diversified cross-border financial services. Against this backdrop, IMI and Modern Bankers magazine jointly launched the "Cross-border Financial 50 Forum”. The Forum is the first non-official, nonprofit academic organization that focused on cross-border financial policy research, theoretical discussion and practical innovation, and it promotes the academic and practical exchanges between China and the world. It is committed to becoming a high-end think tank that conducts research on frontier academic issues, cross-border financial ecological system construction, international exchanges and cooperation and new financial innovation.
Cai Esheng delivered a keynote speech. Guests held roundtable discussions on the two topics RMB exchange rate and Overseas Investment and Monetary Strategy and Financial Cooperation under BRI. The guests include Cao Tong, Chairman of Board, Xfintech Corporation Limited, former vice president of Export-Import Bank of China; Zong Liang, chief researcher of Bank of China; Ding Jianping, Deputy Director, Shanghai Institute of International Finance Center and director of Research Center for Modern Finance, SHUFE; Liu Jun, Executive Vice President, China Investment Corporation; Peng Wensheng, Global Chief Economist and Director of Research Institute, Everbright Securities; Herbert Poenisch, the former senior economist at the Bank for International Settlements; Tu Yonghong, deputy director of IMI; Wang Yongli, former vice president of Bank of China; Juan Carlos Martinez Oliva, Senior Director, Directorate General for Economics, Statistics, and Research, Bank of Italy; Wei Benhua, Former Deputy Administrator-in-bureau, State Administration of Foreign Exchange (SAFE); Xiao Geng, President, Hong Kong Institution for International Finance and Professor, University of Hong Kong; Guo Jianwei, president of Urumqi Central Sub-Branch, PBoC; etc.
On the afternoon of July 15th the parallel forum entitled Green Finance and RMB Internationalization was also held by the School of Finance, School of Environment and Natural Resources and the Chongyang Institute for Financial Studies, co-sponsored by IMI and the Center for Eco-Finance Studies, RUC. Lan Hong, deputy director of Center for Eco-Finance Studies and professor from the School of Environment and Natural Resources, RUC, served as the chair. Li Mingkui, Party Secretary of the School of Environment and Natural Resources, RUC, and Zhao Xijun, deputy dean of the School of Finance, RUC, delivered opening remarks. The following guests subsequently delivered keynote speeches: Ma Jun, Chief Economist at the Research Bureau of PBoC and Chair of the Green Finance Committee of the China Society for Finance and Banking; Yang Chaofei, Former Engineer General, Ministry of Environmental Protection; Ye Yanfei, Inspector, Policy Research Bureau, CBRC; Chen Liang, Director of Environmental Cooperation, Ministry of Environmental Protection; Lu Hanwen, Member of Credit Committee, China Development Bank; Zhou Yueqiu, Deputy Director, Green Finance Committee, China Financial Forum; and Ma Anquan, Deputy Mayor, Datong of Shanxi Province. The following guests held roundtable discussions on the international cooperation of green finance: Lu Zhengwei, chief economist with Industrial Bank and Huafu Securities; Ma Xianfeng, Deputy Director, Green Finance Committee, China Financial Association, Associate Dean, China Institute of Finance and Capital Markets (CIFCM), CSRC; Yin Hong, Deputy Secretary General, Green Finance Committee, China Financial Society, Deputy Director of City Finance Institute, ICBC. The following guests held roundtable discussions on green finance's practice in China's carbon trading and PV industry development: Zhu Da, World Bank senior researcher; Zhou Cheng, vice president of the Beijing Environmental Exchange; and Fei Zhong, Assistant Vice President, Golden Concord Group Limited.
On the evening of July 15th the working dinner of macro economic outlook was presided over by Song Ke, deputy director of IMI. Yu Pingkang, Chief Expert in Financial Market, Insurance Association of China, Chief Economist, Changjiang Pension Insurance Co., Ltd., delivered a keynote speech entitled “reform is the best path to deleverage: China's economy in the new world pattern", which analyzed the paths to deleverage from the angles of theory and practice. Hong Hao, Managing Director and Head of Research, BOCOM International, delivered a keynote speech entitled "What is damaging is not beautiful, what is beautiful is not damaging", analyzing A shares, US stocks, Hong Kong stocks trend and future investment strategies.
On the morning of July 16th, the sub-forum entitled "Internationalization of Bond Market: Opportunities and Challenges” was jointly organized by the IMI and FICCRUC. The Forum was chaired by Zhao Xijun, associate dean of the School of Finance, RUC. Ma Delun, former vice president of the People's Bank of China and Wu Qing, chairman of the Shanghai Stock Exchange, delivered keynote speeches. The following guests participated in the round-table discussions: Wang Ge, Managing Director and Head of Fixed Income, Huatai United Securities; Bu Yanhong, Vice General Manager of Asset Management, Postal Savings Bank of China; Mao Zhenhua, Board Director and Founder, China Chengxin Credit Management Co., Ltd.; Wang Changyun, Executive Associate Dean, Hanqing Advanced Institute of Economics and Finance, RUC; Wang Qing, President, Shanghai Chongyang Investment Co., Ltd.; Wang Guogang, Director, Finance Institute, CASS; Fan Xiwen, Chief Risk Officer, China-LAC Cooperation Fund; Li Yu, General Manager of Financial Market, China Guangfa Bank; Guan Mingjia, Managing Director of First Venture Securities, Chief Investment Officer of Fixed Income Department; Qu Qing, General Manager, Asset Management Division, Hua Chuang Securities; Wang Wei, Head of Fixed Income Research, Bank of China International; Xia Le, chief economist for Asia at BBVA Research; and Feng Bo, Former General Manager, Dalian Commodity Exchange.
On the morning of July 16th, the parallel forum entitled "Cross-border Capital Flow and Systemic Risk Prevention" was held by IMI and Official Monetary and Financial Institutions Forum (OMFIF), supported by the Cross-border Finance 50. The event was presided over by Adam Cotter, OMFIF’s Head of Asia and Chief Representative of the Asia office in Singapore.
Renowned scholars delivered speeches on the evolution, present and future of China’s cross-border capital flow, including Guan Tao, Senior Research Fellow, China Financial 40 Forum, Former Director General of International Payments, SAFE; Bruno Bezard , Managing Partner of Cathay Capital Private Equity, Former Vice Minister of Finance of France; Gao Haihong, Director, International Finance Research Center, CASS; Shen Jianguang, General Manager and Chief Economist, Mizuho Securities (Asia); Sun Lujun, Director, CNIC Corporation Limited; Zhang Bin, Senior Research Fellow, China Financial 40 Forum, Research Fellow, Institute of World Economics and Politics, CASS; Zhang Ming, Director of International Investment, Institute of World Economics and Politics, CASS, Chief Economist, Ping An Securities. They engaged in roundtable discussions with guests including Herbert Poenisch, the former senior economist at the Bank for International Settlements; Patrick D'Arcy, Counselor/Representative, Reserve Bank of Australia, China Office, Australian Embassy; Chiu Cheng-Hsiung, Board Director, SinoPac Financial Holdings; Juan Carlos Martinez Oliva, Senior Director, Directorate General for Economics, Statistics, and Research, Bank of Italy; Ding Jianping, Deputy Director, Shanghai Institute of International Finance Center, Director, Research Center for Modern Finance, SHUFE. Lord (Neil) Davidson, Former Advocate General of the UK; E Zhihuan, Chief Economist, Bank of China (Hong Kong); Li Wenlong, Senior Economist in the ASEAN+3 Macroeconomic Research Office (AMRO); Iikka Korhonen, Head of the Bank of Finland Institute for Economies in Transition (BOFIT); and Zhou Yinggang, Associate Dean, Wang Yanan Institute for Studies in Economics, Professor, School of Economics, Xiamen University, delivered keynote speeches on "Strengthening the Financial Transaction Function of RMB and RMB Internationalization". They also engaged in roundtable discussion on this topic with guests including Wei Benhua, Former Deputy Administrator-in-bureau, SAFE and Yaseen Anwar, former governor of Central Bank of Pakistan.
On the afternoon of July 16th, the sub-forum entitled "Financial Transactions Driven by Fintech: Innovation and Security" was co-held by IMI and China Financial Technology 50 (CFT50), sponsored by Element Credit Co., Ltd. and Union Mobile Fintech Co., Ltd. Yang Tao, Assistant Director, Finance Institute, CASS, Chief Economist, China Fintech 50 Forum, presided over the event. Mr. Cao Tong gave an opening remark. Li Lihui, Member of Financial and Economic Committee, NPC, Head of Blockchain, National Internet Finance Association; Former Deputy President, Bank of China; Wang Yonghong, Secretary of the Party Committee, Rural Credit Banks Funds Clearing Center, Former Director General, Technology Department, PBoC; Qin Yi, Managing Partner of Investment Management, Deloitte Asia Pacific; and Huang Jinlao, Vice Executive President, Suning Financial Group, delivered keynote speeches. The first roundtable discussion centered on "artificial intelligence and financial transactions innovation and safety". It was hosted by Yan Wentao, CEO of China Chengxin Credit. Guo Zhenzhou, Chairman of Board and CEO, Quark Finance; Jiang Tao, CEO, Tongdun Technology; Teng Fang, co-founder of Innotree; Nie Fanqi, FDT Group founder, CEO; and Yin Jiayin, vice president of Element Credit, participated in the round-table discussion. The second roundtable discussion centered on "Block Chain and Financial Transaction Innovation and Safety". It was hosted by Cao Feng, Vice Chairman of Board and Chief Scientist, Shenzhen Block Chain Financial Service. Huang Lianjin, Chief Expert, Huawei Hyperledger; Tom Ding, String Labs’ co-founder and CEO; Wang Jing, co-founder and CTO of Bubi Technology; Deng Di, Chairman, Center for China Blockchain Research, Chairman of Board, Taiyiyun Technology; Wu Fenghai, Vice President, Union Mobile Financial Technology Co., Ltd., participated in the roundtable discussion.
On the afternoon of July 26th, the sixth sub-forum entitled "Sino-US Cooperation in Green Finance and Financial Technologies and Sino-US Student Financial Dialogue" was held in the East Hall of the Student Activity Center, RUC. Young leaders from Harvard, Yale and other famous universities in the United States and from RUC, Tsinghua University, Peking University and other domestic first-class institutions discussed Sino-US cooperation in green finance and financial technologies, and well-known experts at home and abroad will also give professional comments.
The International Monetary Forum is organized by the IMI on an annual basis. Since 2012 it has been held for six times. In the forum IMI regularly issues "RMB internationalization report" which conducts in-depth discussions on important theories and phenomena of international finance. This Forum attracts famous experts and scholars from regional research institutes, government departments and financial institutions in Europe, America, Asia, Africa and other regions.
