Opportunities Surrounding the Chinese Renminbi

by swisscham in Business

China’s economy is the second largest in the world and has become a key driver of global growth. Although the Chinese government is not yet prepared to open its economy to the free movement of capital and allow full convertibility of its currency, it has managed to push international use of the renminbi (yuan) to over 10% of China’s foreign trade volume within a span of four years. The globalization of China’s currency allows greater flexibility in payment transactions and investments for companies doing business in the Chinese market, working with Chinese partners, or planning to enter the market in China. A rapidly growing offshore market, primarily in Hong Kong, has made it easier to purchase renminbi at an offshore exchange rate (CNH), with cross-border trade also reaping the several benefits, such as reducing currency hedging expenses, lowering prices with a hedgeable and easily calculable currency risk.

Leave a Reply

Your email address will not be published.

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

Your Swiss Business Platform in China

SwissCham China has roughly 600 company members. Our Chamber maintains a strong relationship with the Embassy of Switzerland, Swiss Global Enterprise, Swissnex and Switzerland Tourism. As the representative of the Swiss companies established in China, our goal is to help you to increase your business and visibility, especially amongst the Sino-Swiss business community.

Become A Member

Sign Up For Our Newsletter

  • This field is for validation purposes and should be left unchanged.
October 9, 2020
Published By chinadaily.com.cn in Engineering / Manufacturing
October 6, 2020
Published By globenewswire.com in Engineering / Manufacturing
September 24, 2020
Published By schindler.com in Engineering / Manufacturing
September 14, 2020
Published By cgtn.com in Bilateral Relations
September 3, 2020
Published By s-ge.com in General Interest