Chapter 1658 Defend Yayuan (Please Subscribe!)
Burmese.
Xin'an City.
A secluded tea house.
The crowd sat in a circle and drank tea. Tang Kai was not so generous, so he took out the tea that Tang Qing had given him, lest these people always come to ask for it in the future.
"You said, this time, will inflation break out and money is worthless?"
Take a sip.
The head of a local family said worriedly.
Just at the meeting.
Did not dare to mention.
But that doesn't mean they don't care. Mass issuance of banknotes and inflation. This is basic financial knowledge. There's more money, but it's worthless. If so, it's annoying.
"Why didn't you ask?"
"you dare?"
"Don't dare."
"That's it."
"Actually, you should look at it from a different perspective. As long as any country is in a period of rapid development, inflation is inevitable, but as long as the exchange rate fluctuates little, there is no need to be afraid."
"Inflation, mainly refers to the decline in the purchasing power of money and the rise in domestic commodity and asset prices, but do you think it will happen when the prices of raw materials are not fully marketized?"
"No, in the Myanmar-Asia Special Economic Zone, the Myanmar-Asia Bank Group has always implemented pricing for grain, vegetables, meat, and industrial raw materials in order to stabilize the end-consumer market prices."
"As long as this mouth is not loose, the purchasing power of money held by people will not change much. Last year, the price of a pound of rice did not increase by 3% in the first half of this year."
"Ordinary people don't feel it at all."
"The salary still feels adequate."
"However, the stability of commodity prices is due to policies and pricing. But asset prices are rising. Therefore, inflation is not our concern. It is a matter for ordinary people."
"exchange rate."
"It is the standard that determines the absolute value of our wealth."
Miao Yin analyzed.
Take a sip of tea.
continue.
"The exchange rate, which currently adopts a fixed exchange rate system, is directly determined by the Central Bank of Myanmar. With the addition of foreign exchange controls, there will not be much changes in the short term unless someone shorts the Asian dollar."
"However, this road does not work for the time being. The Central Bank of Myanmar has not eased its lending to foreign capital in Asian dollars. For situations such as Soros's shorting of the Thai baht, don't even think about it."
"In the future, as the issuance and circulation of the Asian dollar becomes larger and larger, the floating exchange rate will definitely be implemented, which is beyond doubt, but this does not mean that our wealth will depreciate significantly."
"How to avoid devaluation?"
"First, of course, the exchange rate regime."
"Secondly, there are several products under the Myanmar-Asia Department that can earn a lot of wealth from other countries."
"Finally, it's us."
"Why let us go out? Why encourage investment in foreign trade enterprises? In addition to increasing the circulation of the Asian dollar, it is to let us make more money, form an internal circulation, and protect the value of the Asian dollar."
hear this.
Some people tilt their heads.
I feel like I can't understand it!
Inner loop?
Cycle what?
Shaking his head.
Miao Yin felt that these old friends used their brains to make money, and seldom thought about their intention to go to the top. He also had a son in charge of economic policy design, and his vision was much higher.
"What is an inner loop?" someone asked.
Miao Yin chuckled.
"For example, in the past, if people didn't accept Asian dollars for importing wood, we had to give them foreign exchange. As a result, the foreign exchange reserves would be reduced and the ability to resist exchange rate shocks would be small."
"Now, even if people are willing to accept Asian dollars, they may turn to our central bank to exchange them for dollars or euros. As a result, foreign exchange reserves are still reduced, which is not much different from the previous one."
"However, if we acquire this company and settle in Asian dollars, do we need to exchange dollars for Asian dollars? No, we can hold it for a long time."
"Once someone wants to short Yayuan."
"For example, when Soros shorts the Thai baht, in addition to his own funds, he has to follow the trend and sell, those companies, individuals, financial capital, and foreign exchange management agencies that hold Thai baht."
"When the wind blows, one side falls."
"very dangerous."
"However, if an internal circulation is formed, the Asian dollars earned by our foreign-invested companies will not join the ranks of follow-up selling, which will reduce the storm that speculators want to brew."
"Even, the foreign exchange we earn can be reversed, making short sellers lose everything."
Speaking of which.
Miao Yin couldn't help feeling that this move was so powerful.
through the Chamber of Commerce.
Tie everyone together.
through expansion.
Improve Yayuan's 'self-protection ability'.
If these foreign trade enterprises controlled by them continue to expand, even if only one third of the foreign trade demand of Myanmar is controlled by Myanmar-Asian enterprises, it will have a huge effect.
Anyone who wants to come short.
Have to figure it out.
Whether the follow-up capital has the ability to push the building of Yayuan, as long as this one-third is stable, it is likely to affect the other one-third of conservative capital, and the rest will be difficult to make waves.
. . .
Qingyan City.
manor.
After listening to Miao Yin's words.
Tang Qing just smiled. There are still a lot of smart people in the world. This deep-seated benefit has been thought of. Indeed, there is a reason for them to acquire foreign trade companies.
Foreigners make money.
Many have been exchanged for foreign currency and left, which are uncontrollable capital.
from now on.
Myanmar-Asia companies gradually control the main imported commodities of Myanmar, and the Asian dollars they earn are stable capital, which will not be affected by short-selling capital, which greatly maintains the stability of the exchange rate of Asian dollars.
. . .
Tea house.
After being explained in this way, everyone nodded in unison.
sharp.
Unexpectedly, there is such a deep meaning. As long as they do not betray Yayuan, it is not easy for outsiders to shake Yayuan, but will they betray? Stupid, who has nothing to dig their own grave.
exchange rate.
determines the absolute value of their wealth.
Protect sub-dollars.
is to protect their core interests.
"But other holders will not be affected."
Except for businesses and individuals.
There are also international financial institutions and foreign exchange management agencies of various countries.
"As long as the main commodity trade is settled, the problem is not too big, and the amount of personal holdings is generally not large. Financial institutions, if they want to borrow Asian dollars from banks here, how easy is it to do so."
"As for foreign exchange management agencies in various countries, it is a risk, and this is what we have to work hard. As long as we are strong enough, we can make them have more concerns and will not easily fall to one side."
On falling to pieces.
Miao Yin felt that the risk of the last party was not small.
Simple.
You give people a loan for a project, and they owe a debt. Well, if you owe a debt, you have to repay it. You borrow Asian dollars to pay back Asian dollars. Then, of course, they are willing to depreciate the Asian dollar, so that you can pay less in the future.
Twenty percent depreciation.
That's 20% less.
world.
It's just so 'cruel'.
There is no morality, it is just a profit-seeking behavior of capital, and it is precisely because of this that their existence is needed.