It is of great significance, and the status of RMB has been upgraded.

1. After joining SDR, it means that the international status of RMB has been continuously enhanced, which is an important step for RMB internationalization. It has enhanced the international influence of RMB, and will be more and more used in international trade, investment and reserves. In the future, Chinese residents can directly use RMB to travel, shop and invest abroad, reduce exchange costs, avoid exchange rate risks and expand the scope of asset allocation.

2. With the RMB going global, the investment requirements of overseas institutions and individuals for China assets will increase accordingly, which means diversification of investor structure and enhancement of long-term purchasing power for China stock market and bond market.

3. Joining SDR will also help China gain pricing power in international commodity trading. In the past two decades, because Asian countries such as China have no pricing power, the prices paid by major Asian oil consumers to Middle East oil producers are higher than those of European and American countries that import crude oil from the same region by 1 -1.5 USD/barrel. Shanghai Free Trade Zone has decided to set up an international crude oil futures trading platform. If RMB is not an international reserve currency, its recognition will be low. If the US dollar is used for pricing, it is not conducive to the influence of the crude oil trading platform in Shanghai Free Trade Zone. Once RMB becomes an international reserve currency, crude oil trading in Shanghai Free Trade Zone can adopt RMB pricing, and traders will take RMB price as an important basis for judging the market and future trading decisions.

4. RMB's participation in SDR will also help maintain the independence of the central bank's monetary policy. According to Mundell Triangle Theory, it is impossible for a country to maintain a fixed exchange rate, free flow and independent monetary policy at the same time, but only both. For a big country like China, we must maintain an independent monetary policy and not be led by others. The only one of the three is to give up the fixed exchange rate and adopt a floating exchange rate. Nevertheless, since RMB joins SDR as an international reserve currency, other countries will use RMB as their foreign exchange reserves, so the risk of exchange rate fluctuation is much smaller.