Wednesday November 19 2014
News Source: Global Exchanges
Focus: Other
Type: General
Country: Australia
Link: http://www.asx.com.au/documents/asx-news/asx-welcomes-bank-of-china-as-rmb-clearing-bank.pdf
ASX and the Bank of China have signed a Heads of Agreement to expand their strategic cooperation to develop the Renminbi (RMB) as a currency in Australia’s financial markets.
ASX and the Bank of China launched an RMB settlement service in Australia in July 2014. This service allows Australian companies to pay and receive RMB in near real-time and in the same way as they transact in Australian dollars, reducing their risk and the cost of doing international business.
By signing the Heads of Agreement ASX and the Bank of China commit to explore opportunities that will expand the role of the RMB in financial markets. This includes:
- increasing transaction volumes in the existing RMB Settlement Service via customer education seminars and marketing initiatives
- facilitating the issuance and trading of debt market products and interest rate and commodity derivative products (such as swaps, options and futures) denominated in RMB
- promoting ASX in China and other Asian markets as a venue for raising equity capital in A$ and, in future, RMB
Click link above for further details.