Navigating the Financial Landscape in China under Reverse Globalization: Challenges and Strategies

Abstract

This paper extensively conducts an extensive exploration of the ramifications of reverse globalization on China's financial sector. At first, the paper focuses on international trade flows, selects three trade orientations, that are China and US, China and ASEAN, China and the belt and road to analyse the condition of Chinese economy oversea. Then, by leveraging financial indicators such as the Renminbi exchange rate and the Shanghai Interbank Offered Rate, etc., the study scrutinizes the repercussions, pertinent financial metrics, and the formulation of macroeconomic policies in the context of Sino-US political discords. Furthermore, the paper puts tactical measures to address these challenges, which encompass stabilizing foreign exchange markets, fine-tuning the trajectory of financial liberalization, and fostering initiatives in green finance. The underlying objective of these recommendations is to capitalize on opportunities that arise from the currents of reverse globalization, while concurrently alleviating the stressors it imposes on the Chinese financial marketplace.