Under The Belt And Road Initiative CNY(China Yuan) Internationalization's Impact On China's Foreign Trade Development

In today's world,the U.S.dollar has dominated the monetary system,but under the impact of large and small economic crises,the defects of this system have gradually surfaced and are exposed to the eyes of the world.In the currency system dominated by the U.S.dollar,once the financial crisis broke out in the United States,its damage would quickly spread to the global economy as dominoes.In view of this,the world's investors are in urgent need of alternative international currencies.With the rapid development of China's economy,China's position in the global economy is also getting higher and higher.At the same time,the renminbi is gradually understood by people.The renminbi has gradually entered the stage center of the international monetary system,and the internationalization of the renminbi has also become a hot issue of concern to all countries in the world.2009 was a milestone year for the internationalization of the renminbi,as China began to increase the internationalization of the renminbi into a national strategy.Since China's accession to the WTO,China's foreign trade has always maintained rapid development,which has laid a material foundation for the internationalization of the renminbi.The second milestone event—in 2013,General Secretary Xi Jinping proposed building a new land and sea Silk Road in the 21 st century(referred to as the “One Belt and One Road” strategy),which not only stimulated the circulation of domestic renminbi,but also promoted the renminbi in Southeast Asia.Central Asia and other regions of the circulation,thus helping the internationalization of the renminbi.In this context,studying the impact of CNY internationalization on the development of China's foreign trade,especially for countries along the “One Belt and One Road,” has certain practical significance.This article first elaborates on the internationalization of CNY involved,China's foreign trade,and the “Belt and Road Initiative”.It also analyzes the internal mechanism of the impact of CNY internationalization on China's foreign trade;secondly,it obtains 2009 data through data collection.The data on the degree of CNY internationalization in 2015 will further analyze its changing trends;again,through empirical research,using the VAR model,taking the degree of internationalization of the CNY,GDP,exchange rate and inflation as independent variables,China's foreign trade is taken as a cause.The empirical analysis of variables and the conclusion that the internationalization of the RMB is conducive to the development of China's foreign trade;Finally,based on the empirical findings,combined with the “One Belt and One Road” initiative,the renminbi internationalization and foreign trade give opinions and suggestions on how the future of China will develop.