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.
The Asian Development Bank urged Beijing to make the yuan more flexible while forecasting China’s economic growth would slow only moderately to 7.2 per cent this year thanks to lower oil prices, improved external demand, and domestic structural reforms.Tuesday, 24 March, 2015, 3:00pm
China’s long-awaited international payment system to process cross-border yuan transactions is ready, and may be launched as early as September or October, three sources with direct knowledge of the matter told Reuters.9 Mar 2015 - 9:26pm
The tide of capital is going out in China and many boats, in Chinese ports or not, will settle lower in the water in consequence.
The mainland, somewhat unexpectedly, cut monetary policy yet again over the weekend, the third time in recent months it has moved to ease conditions.4 Mar 2015 - 11:07pm
Taiwan has become the hottest place for international issuers to raise renminbi this year, while yuan bond issuances in Hong Kong has slumped as costs hover at a record high.3 Mar 2015 - 2:54pm
The People's Bank of China has been intervening less in the foreign-exchange market since it moved to squash speculators making the so-called one-way bet trade on yuan appreciation early last year.
The currency has been in a "new normal" paradigm since, in which two-way trading and currency volatility have finally become a reality.9 Feb 2015 - 8:56pm
The Chinese yuan beat the Canadian and Australian dollar to rank as the world’s fifth biggest payment currency since November, but its global market share remain small compared with the US dollar.29 Jan 2015 - 8:55am
China faced pressures from capital outflows in recent months at a time of rising cross-border volatilities, a senior official at the State Administration of Foreign Exchange (SAFE) said.22 Jan 2015 - 2:29pm 1 comment
Standard Chartered has sharply revised down its forecast on the Chinese yuan’s value against the US dollar in 2015, on speculation Beijing may be reluctant to allow its currency to continue strengthening amid subdued regional trade.12 Jan 2015 - 4:02pm
China's move to develop financial infrastructure for trading the yuan in South Korea is a key step in facilitating the currency's internationalisation.31 Dec 2014 - 7:13am
A hoped-for expansion in the number of cross-border trading schemes with the mainland is likely to serve as the springboard for a further easing in capital controls by Beijing next year.29 Dec 2014 - 7:08am
The recent link-up between the stock exchanges of Shanghai and Hong Kong marks another milestone in China's drive to reintegrate with the international financial system.15 Dec 2014 - 6:43am
For the first time, China has a real shot at getting the IMF to endorse the yuan as a global reserve currency alongside the US dollar and euro.12 Dec 2014 - 7:02am
Efforts by the People's Bank of China to signal it will let the yuan strengthen even as it grapples with a slowing economy on the mainland are being lost on currency strategists.4 Dec 2014 - 4:41am
Direct trading between the Chinese and South Korean currencies began, with traders and government officials in Seoul saying transactions were more active than expected.2 Dec 2014 - 12:17pm
The launch of the Shanghai-Hong Kong Stock Connect pilot programme is another important step in the renminbi's journey to internationalisation.28 Nov 2014 - 8:01am 2 comments