The research question is to what extent the Belt and Road initiative (BRI) plan will be effective in helping China bounce back from its economic slowdown and what its financial implications are in a policy trilemma context. The BRI was implemented in 2013 as a response to the economic slowdown in China and was intended to help the country's transition to a slower, but structurally more balanced ‘new normal’ economic growth model. At the same time, China is facing many serious problems, such as a credit binge, a debt problem, and international trade and investment conflicts. The implementation of BRI and the accompanying financial liberalization and exchange rate and monetary adjustments will test the theory that it is impossible to combine free capital mobility, stable exchange rate management, and monetary autonomy.