China, Africa using more RMB for direct trade settlements

Bank of China says more direct RMB settlements needed.

Qiu Zhikun, general manager of the Johannesburg branch of the Bank of China said more direct RMB settlement services are needed with growth in trade and investment between China and Africa.

China-Africa trade was almost US$200 billion in 2012 with China's trade with South Africa alone reaching US$60 billion. Mutual investment has also increased rapidly.

BOC has opened more than 1,000 offshore RMB clearing bank accounts in more than 80 countries over the last four years, forming a global coverage of the RMB settlement network, Qiu said.

The Johannesburg Stock Exchange has launched rand/RMB exchange hedging derivatives and the trading volume had been growing rapidly.

South Africa handled 18% of all RMB settlement business in Africa in 2011, and that RMB clearing business will grow substantially in the future, said Nedbank.

By simplifying settlement, RMB direct settlement will help lower commodity prices and add a competitive edge.

Also Read

India, Maldives ink deal to promote local currencies for cross-border trade

Malaysia fines money changer for customer due diligence lapses

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit