STORY HIGHLIGHTS


China-Japan close financial ties

CNC
Added On May 13, 2018

China's central bank has said China will continue "close communication" with Japan on bilateral currency swaps and setting up a RMB clearing bank in Tokyo.
 
Let's take a look.
 
Chinese Premier Li Keqiang said China has agreed to grant Japan an RMB Qualified Foreign Institutional Investors quota of 200 billion yuan, equal to over 30 billion U.S. dollars. 
 
China has a positive attitude towards establishing the RMB clearing bank in Tokyo.
 
The People's Bank of China said closer China-Japan financial cooperation will help the integrated development of their financial markets, promote the RMB's internationalisation, support bilateral trade and investment, and bolster Asian and global growth.
   
Official data for 2017 shows around 8 percent of the nearly 300 billion U.S. dollars in bilateral goods trade was settled in RMB. 
 
And China's cross-border RMB payment with Japan topped over 71 billion US dollars.
   
The People's Bank of China said China's ongoing financial opening up will provide a lot of room for financial institutions on both sides to expand cooperation.
   
As major global economies, both China and Japan's currencies have been included in the Special Drawing Right basket of the International Monetary Fund.