HSBC China to be among the first markets for direct trading of RMB
and Yen
HSBC Bank (China) Company Limited (HSBC China) has today received
approval from China's Central Bank to be among the first batch of market
makers for the direct trading of the renminbi (RMB) and Japanese yen in
China's interbank foreign exchange (FX) market.
HSBC China will participate in the market upon the launch of RMB-yen
trading on 1 June 2012, helping to provide liquidity to the market.
Direct currency trading is expected to strengthen the trade and
investment ties between China and Japan. David Liao, Managing Director
and Head of Global Markets, HSBC China, said: "We are honoured to be
appointed as a market maker for the new direct currency trading. Direct
RMB-yen trading is a vital move towards building a representative and
liquid onshore benchmark for major non-US dollar crosses. It is also a
significant step forward in the internationalisation of China's
currency, supporting the growing demand for RMB payment and settlement
globally.
"As one of the most active participants in China's interbank FX
market and a leading international bank supporting RMB
internationalisation developments, we will fully leverage our global FX
trading expertise to provide liquidity to the market for RMB-yen
trades."
In addition to the above development, HSBC China was among the first
batch of banks appointed as market makers in China's interbank FX market
in 2005. It was appointed as a market maker for CNY (onshore RMB)
trading against the Malaysian currency in August 2010, the only foreign
bank among the first three banks approved for this currency pair
trading.
Globally, HSBC has championed the internationalisation of China's
currency.
In Japan, it was one of the first banks to commence RMB services and
has been helping businesses hedge against market risks by providing them
with a wide range of offshore RMB (CNH) or NDFbased (non-deliverable
forwards) FX and interest rate products. |