Redback Rising
China's Bilateral Swap Agreements and Renminbi Internationalization
Bibliographic Data
| ID | 6273281 |
|---|---|
| Authors | Steven Liao (0000-0003-2526-5796, University of Virginia), Daniel Mcdowell (0000-0003-3159-772X, Syracuse University) |
| Year | 2015 |
| Volume | 59 |
| Issue | 3 |
| Pages | 401-422 |
| Publication date | 2015-09-01 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | International Studies Quarterly (JOURNAL) |
| Journal identifiers | ISSN: 0020-8833 • E-ISSN: 1468-2478 |
| Publisher | Oxford University Press (OUP) (PUBLISHER) |
| DOI | 10.1111/isqu.12161 |
| OpenAlex | W2017299637 |
| Language | EN |
| Citations received | 43 |
| References cited | 40 |
For several years now, China has implemented policies to promote the international use of its national currency, the Renminbi (RMB). As part of these efforts, the People's Bank of China (PBC) has negotiated 25 bilateral currency swap agreements (BSAs) with foreign central banks. These make it easier for firms in both China and its partner countries to settle cross-border trade and direct investment in RMB. We seek to explain why China and these countries cooperate via BSAs. We theorize that trade and direct investment interdependence relate to dyadic BSA cooperation via two mechanisms: financing insulation from international liquidity shocks and reduced transaction costs of cross-border exchange for local firms. Additionally, we expect the presence of preferential trade agreements (PTAs) and bilateral investment treaties (BITs) will increase the probability of dyadic BSA cooperation. BSAs are natural extensions of these existing agreements. They represent an additional layer of state-level formal cooperation that further reduces barriers to cross-border trade and direct investment. Our empirical analysis finds that both de facto trade interdependence and de jure economic integration via PTAs and BITs increase the probability of BSA cooperation between China and partners
Bilateral trade · Business · China · Currency · Economics · Exchange rate · Foreign direct investment · International economics · International trade · Internationalization · Investment (military · Macroeconomics · Monetary economics · Renminbi · Swap (finance · Corporate Taxation and Avoidance · Finance · Global Financial Crisis and Policies · Global trade and economics
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Pandemic Shocks and Household Spending
Quantitative evidence of the community of shared future for mankind as a driver of sustainable development in human society
New Actors in China–Brazil Financial Geography
Dollar Hegemony and the Impossible Dilemma of BRICS Currency Alternatives
How China swaps
Methods of economic statecraft
Does crisis lending help China win friends and influence people
Bilateral swap agreement and renminbi settlement in cross-border trade
A decade of RMB internationalisation
Central bank swaps and foreign reserves
Study on the Path Selection of Yen Re-internationalization After Asian Financial Crisis and Its Enlightenment
An empirical examination of factors driving the offshore renminbi market
Global Monetary Order and the Liberal Order Debate
Financial cooperation in the Asia-Pacific as regime complex
Emergent international liquidity agreements
Welfare and world money
China’s state-permeated market economy and its constraints to the internationalization of the renminbi
China’s central bank digital currency (CBDC)
The International Politics of Reactive Currency Statecraft
Evolution of China’s Bilateral Swap Lines
Banking unconditionally
Structural conditions for currency internationalization
Silencing the crowd
The international political economy of money, macro-money theories and methods
Exploring the Parameters of China’s Economic Influence
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China's Belt and Road Initiative
China’s bilateral swap agreements and foreign policy
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The Political Economy of Sovereign Debt
Chinese Foreign Real Estate Investment and Local Voting in US Presidential Elections
Apples and Dragon Fruits
No Reservations
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Digital RMB vs. Dollar Hegemony? Friendly Foes in China-US Currency Competition
East Asian financial regionalism
How the state frames its engagement in renminbi internationalization
Beyond neoliberalism? Bilateral central bank swaps and changing global financial governance
Partisan technocratic cycles in Latin America
The (Ineffective) Financial Statecraft of China's Bilateral Swap Agreements
Exchange Rate Movements and China-East Africa Trade Balance
America's Global Advantage
Amelia II
Off the cliff and back? Credit conditions and international trade during the global financial crisis
Interaction terms in logit and probit models
Democracy and Development
Multiple Imputation for Nonresponse in Surveys
The US as ‘Sovereign International Last-Resort Lender’
The Yuan Tomorrow? Evaluating China's Currency Internationalisation Strategy
Dollar primacy and American power
Regional Trade Agreements as Military Alliances
A Revised List of Wars Between and Within Independent States, 1816-2002
Allies, adversaries and international trade
Can the Renminbi Rise as a Global Currency
Average Predictive Comparisons for Models with Nonlinearity, Interactions, and Variance Components
Logistic Regression in Rare Events Data
The Proliferation of Preferential Trading Arrangements
Delegating Differences
Alliances, Imperfect Markets, and Major-Power Trade
Competing for Capital
Riding the Wave
Preferential trading arrangements and military disputes
Trading for Security
Alliances, Preferential Trading Arrangements, and International Trade
Power Politics and International Trade
| Citations per year | 3.91 |
|---|---|
| Citation span | 2015 - 2026 (12) |
| Highly cited | No |