The causes of economic imbalances are very complicated and to resolve it requires concerted efforts. In recent years, China has, with a view to improving the balance of BOP, adopted various effective measures to boost domestic demand, reduce savings rate, increase import, open up market, and reform the exchange rate regime.
Traded instruments afford the opportunity to assume (or hedge) a growing variety of exposures and are used by a growing variety of investors. In such an environment, it is critically important that the mechanisms for settling trades do not introduce unwarranted risk into the system. The public sector has been active in developing riskmanagement standards for securities settlement systems.