The Chinese yuan, also known as the renminbi, is already convertible under the current account - the broadest measure of trade in goods and services. However, the capital account, which covers portfolio investment and borrowing, is still closely managed by Beijing because of worries about abrupt capital flows.
Rail firms hit by minister's downfall
Toh Han Shih
Chinese railway companies saw their share prices dragged lower by the downfall of railway minister Liu Zhijun. Since February 14, shares of Midas Holdings plunged 21.1 per cent to HK$4.40 despite the Hong Kong and Singapore-listed firm winning two contracts totalling 83.5 million yuan (HK$98.7 million) in Turkey and Malaysia, while CSR Corp fell 10.7 per cent to HK$8.50. China Railway Group dropped 2.9 per cent to HK$4.99 and China Railway Construction Corp fell 4.9 per cent to HK$8.80, while the Shanghai share price of China CNR Corp fell 7.8 per cent to 8.05 yuan.