The Research of Japan’s Foreign Exchange Reserves
|School||Ocean University of China|
|Keywords||Japan 's foreign exchange reserves Foreign exchange reserves Foreign exchange reserve structure Foreign exchange market intervention|
The foreign exchange reserves held by a country's foreign exchange authorities of foreign liquid assets, a country's most important international reserve assets. The traditional function of foreign exchange reserves is to: maintain international capacity to pay, to make up their international balance of payments deficit; central bank intervention in the foreign exchange market to stabilize their exchange rate; maintain their borrowing and repayment of foreign debt credit guarantee. Too much or too little of the foreign exchange reserves are not conducive to the sustained, stable and healthy development of our economy. Excessive foreign exchange foreign exchange reserves will cause waste of resources, and to increase the holdings of the cost of inflation and the appreciation of the renminbi and other issues, thus restricting China's economic development, but too little foreign exchange reserves will, in turn, the country's resources misallocations, increased international trade and risk in financial activities. Since the 1990s, the size of Japan's foreign exchange reserves for many years ranked first in the world, has been living in second place in 2006, China surpassed Japan's foreign exchange reserves by the end of 2010, is a whopping $ 1.049 trillion, far higher than other same level developed countries, high foreign currency reserves to a certain extent affect Japan's economic operations and foreign economic and trade relations. But also in terms of the source, purpose and use of foreign exchange reserves, Japan and China there are certain similarities, see its economic consequences, but did not appear similar serious problem in China. This paper focuses on Japan's foreign exchange reserves, its management system generates the status quo and development, and the size and structure of management, the effect on the formation of Japan's foreign exchange reserves and the use of theoretical and empirical analysis, and analyzed on the basis of Japan's foreign exchange reserves management of policy options in the future, and Japan's foreign exchange reserves management experience to provide appropriate policy recommendations for the reform of China's foreign exchange reserves management. This paper first introduces the generation, development and legal requirements of Japan's foreign exchange reserves management system, from the system level analysis of the current situation of Japan's foreign exchange reserves management Overall management of foreign exchange reserves, Japan has several characteristics with our similarities, such as management's main purpose is to maintain the stability of the exchange rate, foreign exchange reserves constitute the main long-term stability of the current account surplus is the basis of Japan's foreign exchange growth. Second article on the history and current situation of the size and structure of Japan's foreign exchange reserves were set forth, respectively, both theoretical and empirical analysis of the size and structure of the foreign exchange reserves of Japan, analysis of the reasons for the formation of Japan's foreign exchange reserves, as well as Japan's foreign exchange use of the effect of the reserve. Finally, before Japan's foreign exchange reserves management system, and the size and structure of the foreign exchange reserves, discussed the current situation, to solve the problem of Japan's foreign exchange reserves, the Japanese government may be taken several foreign exchange reserves management policy options. And in accordance with Japan and China in economic development, foreign exchange reserves, the status quo of China's foreign exchange reserves development management and provide appropriate policy recommendations for the reform of China's foreign exchange reserves management.