The People's Bank of China yesterday relaxed restrictions on yuan transactions for Macau residents in a move that plays catch-up with Hong Kong and seeks to broaden the international use of the currency.
The central bank said Macau residents would soon be able to exchange the equivalent of 20,000 yuan (HK$22,704) per person per day, up from 6,000 yuan.
Macau residents with local yuan accounts will also be allowed to write yuan-denominated cheques for purchases in Guangdong province, capped at 50,000 yuan per account per day.
Macau 'designated merchants' permitted to engage in yuan business will be expanded to include those engaged in communications, educational services and the conference and exhibition business.
'The measures will be gradually implemented when technical arrangements are in place,' the bank said yesterday in a statement on its website.
All the new liberalisations for Macau have been in place in Hong Kong since 2006 after being announced by Chief Executive Donald Tsang Yam-kuen in his 2005 policy address.
Moreover, Hong Kong residents have since 2006 been able to write yuan cheques for up to 80,000 yuan per account per day, or to remit the same amount between yuan-denominated personal accounts in Hong Kong to 'same name' accounts on the mainland.