MasterFeeds: FT.com / China - Renminbi rolls out

Subscribe in a reader Add to Google Reader or Homepage

Jan 17, 2011

FT.com / China - Renminbi rolls out

Renminbi rolls out

Published: January 16 2011 19:33 | Last updated: January 16 2011 19:33
It is not yet a flood, but the trickles eroding the walls that keep China’s currency within the country’s territory are beginning to add up to something.
Already last year, the renminbi debuted as a currency for bond financing by multinational corporations (McDonald’s); trade credits (to an Indonesian group by the Industrial and Commercial Bank of China); and offshore deposit accounts (to the Bank of China’s personal banking clients in London, New York and other cities).
Last week, further holes were pierced in the dam of non-convertibility. Pharo Management, a hedge fund manager, announced it will offer renminbi-denominated shares in its funds. The city of Wenzhou launched a pilot project to lighten restrictions on its residents’ ability to invest money offshore. And a year and a half after Chinese corporations were allowed to settle cross-border trades in their own currency, permission has also been granted to use renminbi to acquire or found new operations overseas.
That many of these moves make it easier to ship renminbi out of the country does not change the redback’s natural and favoured direction. If Chinese authorities were relaxing restrictions on capital inflows as freely as on outflows, the renminbi would have appreciated by more than the 3.5 per cent it has risen against the dollar since last year.

Read more on FT.com / China - Renminbi rolls out


Share
-- The MasterFeeds

No comments:

Post a Comment

___________________________________
Commented on The MasterFeeds

ShareThis


The MasterFeeds

MasterSearch

Categories

MasterFeeds News Finance china money stocks USA Commodities United States debt Gold Venezuela Dollars bonds Markets economics trading Banks FED Hedge funds Asia LatAm Oil default credit metals Mining international relations central_banks CapitalMarkets HFT russia zerohedge Euro Israel Silver democracy India Japan SEC bailout Africa Liberalism Middle East elections insider trading Agriculture Europe FX Iran Tech Trade VC bitcoin copper corruption Brazil CoronaVirus ForEx Gold Silver NYSE WeWork chavez food real estate Arabs EU Facebook France IPO Maduro SWF TARP UN canada goldman government recession revolution war Abu Dhabi Cannabis Capitalism Citigroup Democrats EIA Jobs NASDAQ PDVSA Palestinians Saudi Arabia Softbank Stats Trump Turkey Ukraine demographics ponzi socialism 13F AIG Berkshire Hathaway CBO Cargill Colombia Cryptocurrency ETF Ecuador Emerging Markets Eton Park Google Hamas Hezbollah Housing IMF LME Lebanon Mindich Mongolia NYC OPEC PIIGS Pakistan Paulson Pensions Peru Potash QE Scams Singapore Spain Syria UK Yuan blockchain companies crash cybersecurity data freedom humor islam kleptocracy nuclear propaganda social networks startups terrorism Advertising Airlines Andorra Angola Anti-Israel Apple Automobiles BAC BHP Blackstone COMEX Caracas Coal Communism Crypto DRC DSK Double-Dip EOS Egypt FT Fannie Mae Form Foxconn Freddie GM Gbagbo History ICO Iraq Italy Ivanhoe Ivory Coast JPM Juan Guaido Lava Jato Libya London M+A MasterEnergy Mc Donald's Miami Mugabe Norway Norwegian Odebrecht Oyo PA PPT Palantir Panama Politics QE2 Republicans Rio Ron Paul ShengNu Soleimani South Africa Tokens Tunisia UN Watch UNESCO UNHRC Uber VW Wyclef anti-semitism apparel bang dae-ho cash censorship chile clothing coffee cotton derivatives emplyment foreclosures frontrunning haiti infrastructure labor levi's mortgages philosophy shipping social media treasury women