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Qianhai

Qianhai special economic zone in Shenzhen. Photo: Reuters

Banks get green light for 2b yuan in cross-border loans for Qianhai

China had announced it would let firms in Qianhai, a US$45 billion special economic zone in Shenzhen, take out yuan loans from banks just across the border in Hong Kong, with tenors and interest rates to be set independently, also a major step towards liberalising the country’s interest rate mechanisms.

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