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What are the principles for the 2005 RMB issuance

by Victor

The 2005 edition of the release adopted the “release once, release in installments” principle.

The issuance of RMB in China has always adhered to the following three issuing principles: 1. Centralized and unified issuance principle: Centralized means that the issuance power of RMB is concentrated in the central government representing the country — The State Council.

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Unification refers to the state authorizes the people’s bank to unify monopolistic issue.

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With the exception of the People’s Bank of China, no region, unit or individual has the right to issue currency or disguised currency.

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2. Principle of planned issuance: It means that the issuance of currency should be carried out in a planned way according to the requirements of national economic development.

In particular, the head office of the People’s Bank of China shall propose a currency issuance plan and submit it to The State Council for approval before organizing its implementation;

3. Economic issuance principle: or credit issuance principle, which is the symmetry of financial issuance.

It means to issue money according to the development of national economy and the actual needs of commodity circulation.

This kind of issue is to increase money supply on the basis of economic growth, in order to adapt to and meet the objective need of money in commodity production and commodity circulation.

Will not cause price fluctuation and inflation.

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Please pay attention to the specific operation, the market is changing rapidly, investment needs to be cautious, the operation strategy is for reference only.

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