We will give full play to the RMB in pricing and settlement of commodities. Besides, Shanghai can tap its advantages as an international financial center to provide financing support for the Belt and Road Initiative.
The interest rate caps would transmit additional accommodation through the longer rates that are relevant for households and businesses in a manner that is more akin to conventional policy and more continuous than quantitative asset purchases. Another important benefit is that the forward guidance and the yield curve caps would reinforce each other.