CBI member, City of London Corporation has published the latest instalment of its London RMB Business Quarterly Review.
In this quarter’s edition, the City of London reports that nearly 3 trillion RMB was cleared by the designated UK RMB Clearing Bank (China Construction Bank London Branch) between September and November 2019, up 22.7% year-on-year. Daily foreign exchange RMB trading volumes also saw a rise, averaging more than £82 billion in quarter three (July to September 2019), up 4.29% year-on-year. Meanwhile, total RMB cross-border settlement between China and the UK for the first 11 months of last year also hit historic levels, rocketing 66% year-on-year to around 590 billion RMB.
Between January and November 2019, there were 41 Dim Sum bonds newly listed on the London Stock Exchange worth nearly 15 billion RMB, an increase of 15.5% on the same period in 2018. Issuers include China, the UK, Middle East, Australia, and Japan.
Catherine McGuinness, Policy Chair at the City of London Corporation, said: “I’m pleased that we continue to attract record levels of RMB trading, clearing and settlement. […] The UK leads the world when it comes to foreign exchange and we will continue to do so for the foreseeable future. […] I look forward continuing to celebrate the UK’s role as leading offshore RMB trading hub outside of Greater China for many years to come.”
The report also discusses opportunities for international investors in China’s equity and bond markets, exploring onshore hedging tools and products available.
To read the report in full, please follow the link.