A Study On Strategies Of Commercial Banks For The Internationalization Of RMB

With the great development of China’s economy, the internationalization of RMB has become one of the hottest topics nowadays. Internationalization of RMB is based on globalization, financial liberalization, and perfection of both domestic and international financial market. Meanwhile, as developing with great rapids, Chinese commercial banks have ranked top of global banks with traditional globalized bank groups from western developed countries such as America and EuropeThe internationalization of RMB provides huge opportunities and challenges to Chinese commercial banks. Facing the opportunities and challenges, some of these Chinese commercial banks have started to adopt the “go-abroad- strategy” as their main development strategy in the future development. The internationalization strategies of China’s commercial banks are basically divided into four processes.Firstly, the foundation is overseas locating. Commercial banks mainly open branches in different countries as the center of their target markets especially those markets that hold great partnership with China. Secondly enhancing the overseas business in different RMB products is the most important aspect after succeeding in entering a new market as their unique advantages. Thirdly with rich types of RMB products,winning more global clients is the next key step. Fourthly the proper global risk management strategy will be of great importance because of the great challenges that the internationalization of RMB will cause.Now the internationalization of RMB is bringing both great opportunities and challenges to Chinese commercial banks. The analysis of internationalization of Chinese commercial banks and internationalization of RMB indicates that the internationalization of RMB can enhance those banks global competitiveness.