Sunday, November 9, 2014

China, Canada to expand use of yuan in trade, investment

China and Canada agreed to expand the use of the Chinese currency in trade and investment, with their central banks setting up a swap line worth the equivalent of $32 billion. Under the agreement, reached during a visit to Beijing by Canadian Prime Minister Stephen Harper and announced by both sides on Saturday, the People’s Bank of China will designate a clearing bank in Canada for transactions in the yuan—the first in North America and a key step in boosting the use of China’s currency. China also granted Canadian financial institutions a 50 billion yuan quota to invest in Chinese capital markets, according to statements from the Canadian government and the PBOC.

No comments:

Post a Comment