China joins talks for ‘reconstruction of international monetary system’

Posted: 6th Feb 2015
Author: Willem Middelkoop

Schermafbeelding 2015-02-06 om 09.25.35The Mandarin version of The Big Reset will be published early May 2015 by Renmin University (Press), one of the most prestigious Chines universities and closely connected to the leading communist party.

At first I was quite surprised to learn a Chinese leading university was willing to publish The Big Reset, while it’s thesis was not accepted by western academics. But Renmin University Press seemed to be well aware of this fact, given their press release;

In contrast to the mainstream viewpoint prevailing in the US, Willem Middelkoop’s new book The Big Reset shows an influential European economist and observer’s insight on how the world’s financial system and order will be transformed in the following decade. It is a shared notion in China’s financial and academic sphere that the following ten years mean a significant opportunity for China, whose role and position in the world’s currency and financial system will undergo fundamental changes [..]. We believe a Chinese edition of Willem’s The Big Reset will be of great value, and that is why we specially arranged a press release to promote the Chinese edition long before its publication, which is truly unprecedented in our press.

During the editorial process it became clear to me the Renmin University is playing a leading role in Chinese monetary policy. Every summer thousand of the countries brightest finance students are send to this university to participate in the yearly special summer programs on banking and finance.

After meeting some of their professors during seminars and other events I learned the university even hosts a special International Monetary Institutea Chinese ‘top think tank on international finances’. On their website the openly state their activities are connected to ‘the reconstruction of international monetary system‘.

An earlier post on this blog reported that Jean-Claude Trichet, former president of the European Central Bank, had discussed ‘new rules’ about ‘a new global financial order’ with China. During his speech at the 2014-IFF Forum in Beijing Trichet explained a new financial reset was needed because, ‘The global economy and global finance have reached the turning point, after the world has gone through the global financial crisis.”

He also remarked, “A new global financial order is essential in the rapidly changing global economy, and strategic dialogues and cooperation are needed to reform the current system”, according to a statement on the organizers website. ICBC, the largest Chinese bank has also confirmed ‘a new global currency setup is being conceived’.

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