Deng Xianhong: No large-scale hot money inflows

-Our correspondent Lu Ying State Administration of foreign exchange, Deng Xianhong, 8th, said in an interview with the media, China does not exist large-scale hot money inflows, but in the main countries quantitative easing of monetary policy, a large number of net inflow of capital pressure increased, illegal arbitrage hot money is mainly aimed at the property market, the stock market. Deng Xianhong said that in the context of part of the capital control, hot money entry is a legal cloak. But it is clear that there is no large-scale hot money inflows in China, "stragglers" of hot money are not large-scale, are decentralized. At present, China has a large amount of net inflow of funds and relatively large surplus, but can not simply be surplus, net inflow and hot money confused together.　　Through the investigation, it is found that a lot of net inflow of funds is the result of the company's assets and liabilities for market interest rate, exchange rate and RMB expectation analysis. He pointed out that the current quantitative easing of monetary policy in some major developed countries, which caused the flood of capital liquidity, and the first recovery of China's economy, led to an appreciation of the international market for China's expectations, the net inflow of capital pressure increased.　　The expectation of hot money inflow mainly comes from the appreciation of RMB and the rise of stock market and property market, so the property market is the main object and target of hot money arbitrage. In strengthening the regulation of hot money, Deng Xianhong pointed out that this year to the underground banks to take a holistic approach to the crackdown, a total of 13 relatively large underground banks. On the one hand, we must crack down on this illegal inflow of cross-border funds, but on the other hand should pay attention to the law, not because of the fight against hot money hurt innocent. In addition, the foreign Exchange management departments in the fight against illegal cross-border funds, and actively promote the reform, promote the facilitation of investment and trade, and correctly deal with the fight against hot money and promote foreign exchange management system reform relations.