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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.
Trades in local dollar or yuan in city stock market will offer greater choice to those investors seeking to diversify not only in shares but also currencies.
- Central bank meeting outlines plans for more targeted monetary policies to aid economic recovery
- Expanding domestic demand, boosting confidence and supporting real economy the focus amid signs of stabilisation
China’s role in the global supply chain will become even more crucial in the coming years, as it garners a bigger market share in intermediate products, says HKMA CEO Eddie Yue.
During a briefing on the state of China’s economy, officials from multiple government departments presented a united front against criticism of the country’s recent showing.
The world’s second-largest economy offloaded US$13.6 billion worth of US debt in July, but China remains the second-largest foreign holder of US Treasury bills, having been surpassed by Japan in mid-2019
Hong Kong is poised to assume a greater role in the international banking sector with the appointment of Eddie Yue Wai-man to a key position at the bank for central banks, analysts say.
Intentionally weakening the yuan would be a boon for cheaper Chinese exports, but on the whole, a devalued yuan could make China’s problems much worse.
China’s Belt and Road Initiative has helped enhance exchanges with the Arab world in recent years, and Beijing’s foray into the Middle East is paying dividends.
The People’s Bank of China’s second cut to the ratio this year comes as the world’s second-largest economy has struggled to rebound in recent months.
China will issue 5 billion yuan (US$685 million) worth of sovereign bonds in Macau this month, as it seeks to deepen the financial sector and popularise the use of the yuan currency in its special administrative region.
Currency traders trying to bet against the yuan are facing growing headwinds from China’s efforts to ramp up the cost of doing so in Hong Kong. The PBOC plans to issue more yuan-denominated bills than are maturing in the city next week, a move that will pressure borrowing costs.
China’s yuan fell to a 16-year low against the US dollar last week, with financial regulators vowing to take action to stem one-sided speculative bets, but exporters are already under pressure to change prices.
China’s financial regulators on Monday vowed to take action after China’s yuan fell to a 16-year low against the US dollar last week.
China’s yuan plunged to a 16-year low against the US dollar due to a poor business outlook and a widening yield gap, with the central bank promising to ‘actively and steadily respond’ to depreciation pressure.
Eric Jing Xiandong said the e-CNY could be as valuable to industrial internet use as mobile payments were for consumer use.
Bank of China (BOC), one of China’s four biggest state-owned banks, opened its branch in Riyadh on Tuesday amid growing economic activity between China and Saudi Arabia.
Delegations from the two Gulf states will visit later this year to discuss cooperation that would enhance Hong Kong’s role as an offshore yuan hub, says Hong Kong Monetary Authority CEO Eddie Yue.
The People’s Bank of China will cut the reserve requirement ratio for foreign-exchange deposits later this month in the latest move to support the yuan exchange rate and prop up the faltering economy.
Life insurance sales to mainland Chinese visitors hit HK$31.9 billion (US$4 billion) in the first half versus HK$540 million a year earlier, as they sought refuge in the city’s diverse products amid a weakening yuan.
While the US dollar may continue to hold sway among the Brics nations, economists say improving bilateral relations among Brics members – and their new additions – will boost their currencies, especially the yuan.
Mainland Chinese are rushing to open bank accounts in Hong Kong, buy insurance policies and investment products or swap their cash for local or US currency as the yuan slumps to the weakest since October.
Expansion rate of the Brazil, Russia, India, China and South Africa economic bloc seen determining speed at which it stops using US dollar systems.
China’s yuan is around 6.9 per cent weaker against the US dollar than it was a year ago, but the future of the currency will be ‘supported by solid underlying fundamentals’, said a newspaper affiliated with the central bank.
US$3 billion was added to China’s debt market last month, ending a run of six straight months of outflows, the Institute of International Finance (IIF) said, but a rebound is unlikely to be sustained due to weak economic performance.
The Bank of Thailand expects greater use of regional currencies to help reduce exchange risk as they often move in tandem with the baht, according to assistant governor Alisara Mahasandana.
More than 25 top businesses have pledged to make major investments and more on way, financial secretary says.
