2006 china economic

Economic Information Network] China macro-economic events of 2006: - China's foreign exchange reserves break one trillion mark 2007-01-04 14:04:43 10 at the end of 2006, China's foreign exchange reserve reached 1.0096 trillion U.S. dollars, breaking the one trillion mark, in one fell swoop as the world's foreign exchange reserves superpower. 1 trillion foreign exchange reserves, is the result of years of rapid growth the economy is the success of China's opening up, and manifestation of national strength. However, the rapid growth of foreign exchange reserves, but also to the economic operation has brought many negative effects. Key words: foreign exchange reserves, excess liquidity, the degree of concern the independence of monetary policy: Government: ★ ★ ★ ★ ★ people: ★ ★ ★ ☆ macroeconomic impact index: ★ ★ ★ ★ ★ [Comments]: foreign exchange reserves continued to increase throughout the macro economic performance and the negative impact of increased pressure of RMB appreciation, hampered the effectiveness of central bank monetary policy, the problem of excess liquidity becomes more prominent. Foreign exchange reserves continued to increase, increasing the pressure of RMB appreciation. Since 1994,Christian Louboutin Boots, China's international balance of payments current account in surplus. As of the end of October 2006, China's foreign exchange reserve reached 1.0096 trillion U.S. dollars, compared with 51.62 billion U.S. dollars in 1994, an increase of nearly 19 times. Experts predict: China's foreign exchange reserves will continue to increase,Chanel Shoes, second quarter of 2008 more than 1.5 trillion U.S. dollars, breaking the end of 2010 the total 2 trillion U.S. dollars. How to ease the ever-increasing foreign exchange reserves caused by the pressure of RMB appreciation has become a matter of concern to the government and the public. Foreign exchange reserves continued to increase the independence of monetary policy affected. Balance of payments imbalance of large inflows of foreign exchange, U.S. dollar against the RMB exchange rate in order to ensure control in volatility of 0.3% of the established trading range, the central bank must be put in base money, purchase of foreign exchange. However, to avoid excessive money supply,Jimmy Choo, inflation,Chanel Shoes, the central bank has had to issue bonds or raise deposit reserve ratio to recover the excessive circulation of RMB. At present, the central bank to take regular "hedging" operational measures, repayment of capital from financial markets to reduce the money supply on the market. One of the major macroeconomic policy - monetary policy has been extremely limited, seriously affecting the independence of monetary policy. Foreign Exchange Reserves to a substantial increase in money supply remains high, increasing difference between savings and financial institutions, the growing problem of excess liquidity. Foreign Exchange Reserves to a substantial increase in money supply remains high, 11 the end of the deposit balance of RMB 33.44 trillion yuan, up 17.2%, an increase of 0.2 percentage points higher than the previous month end. Good diversion in the stock market to bank deposits and bank credit growth surge is the case, the difference between savings and financial institutions to continue to larger and larger, 11 end deposit balances up to 11.13 trillion yuan worse than the one at the end of the 9.19 trillion an increase of 1.94 trillion yuan, for the banks, the effective use of surplus funds is the most pressing problems. The face of increasing foreign exchange assets, how to guard against the risk of raising revenue as the government faces challenges. The Government currently do, in a clear core values, while foreign exchange reserves, foreign exchange reserves in the field of how to improve the operation and management, to develop investment, strengthen risk management and improve profitability. Foreign exchange reserves to invest in health care, public health,Christian Louboutin Manolo Blahnik, education and other areas? This is a people more concerned about the issue. Many economists are now talking about how to use this huge amount of foreign exchange to create wealth for the people, there are some ideas into the medical, public health, education and other areas as well, so not only will not produce over-investment, but also to China good for the overall development. The idea is good, but operational difference for that. In the foreign exchange market, the central bank to prevent the yuan's appreciation, sell yuan to buy dollars. This surplus, if the Government's foreign exchange reserves should be used to invest in public health projects, then the first step to make these U.S. dollars into yuan, to market a dollar, this is a contrast with the previous purchase of U.S. dollars, So it becomes a cycle of. For investment in health care, public health, education and other areas of the capital tax is best hope. [] [41]