Press "Enter" to skip to content

China to promote yuan internationalization in 2021: central bank

BEIJING, Sept 18 (Reuters) – China will “steadily and prudently” promote the internationalization of the yuan in 2021, and will continue to develop yuan markets abroad, the central bank said on Saturday.

Local currency cross-border trade settlements amounted to 28.39 trillion yuan ($ 4.39 trillion) in 2020, 44.3% more than the previous year, the People’s Bank of China said in its report on internationalization. of the yuan in 2021.

Yuan trading accounted for 46.2% of total cross-border settlements, reaching a record high, the central bank said.

Settlements from cross-border foreign trade operations reached 4.78 trillion yuan last year, 12.7% more than in 2019, the central bank said.

The central bank will strengthen supervision of cross-border capital flows and avoid systemic risks, he added.

China has been trying to give the yuan more global weight since 2009 to reduce reliance on the US dollar in trade and investment deals, and challenge the dollar’s role as the world’s main reserve currency.

But despite some steps towards liberalization, it maintains a tight grip on the currency due to concerns that excessive volatility could affect cross-border capital flows and hurt the economy.

($ 1 = 6.4655 yuan)

(Reporting by Kevin Yao; Edited in Spanish by Javier López de Lérida)

Article Source

Disclaimer: This article is generated from the feed and not edited by our team.