Yuan will be used nationwide for cross-border settlement

Renminbi will be used for cross-border settlement nationwide, Bloomberg reported, citing a report on the central bank’s website jointly issued by China’s banking, insurance and securities regulators. This year 365 companies in Shanghai and Guangdong were permitted to use renminbi in cross-border trade with Hong Kong and the members of the Association of Southeast Asian Nations (ASEAN). Transactions using renminbi from July 2 to the end of September totalled US$14.6 million. The online statement announced the the policy will be expanded nationwide and the number of companies permitted to settle transactions using the currency will be increased, but no time frame for when the changes will be implemented was given.