Analysis on Correlation between RMB Exchange Rate Reform and Foreign Direct Investment

摘要

So far there exists few domestic research on relationship between exchange rate and capital flow items in the aspect of RMB exchange rate, and most of the conclusions reached hold that depreciation of RMB exchange rate is conducive to foreign direct investment towards China. This Article has explored the impact of exchange rate reform and corresponding exchange rate change at micro-layers, and conducted analysis on causes of change in foreign direct investment before and after the exchange rate reform, and made proposal thereon that active role of exchange rate reform be put into full play to promote healthy and orderly growth of foreign direct investment.