Why does foreign exchange account for less after people are fully convertible?
I think they are two different concepts. After RMB became an international currency, it used the global RMB market. The capital is invested according to the market demand. The exchange rate of RMB against foreign currency is determined by the market. Now we decide the money supply according to the domestic market demand. The inflow of foreign currency has increased the liquidity of the market, which is guaranteed by foreign productivity. That's why China can't invest too much money. After the people are fully convertible, there is no condition for generating foreign exchange.