BOC data shows that cross-border RMB use in countries jointly building the "Belt and Road" is growing rapidly

China news agency, Beijing, October 12 (Reporter Wang Enbo) The reporter learned from the Bank of China on the 12th that in the first eight months of this year, overseas institutions of the Bank of China handled cross-border RMB settlement business of 14.3 trillion yuan, up 4.45% year on year. Among them, institutions involved in the joint construction of the "Belt and Road" countries handled cross-border RMB settlement business of 572.852 billion yuan, up 90.41% year on year, and cross-border RMB use in the joint construction countries grew rapidly.

As a large state-owned bank in China with the characteristics of internationalization and diversification, Bank of China gives full play to its professional experience in foreign exchange and foreign trade to actively provide cross-border RMB products and services for the joint construction of the "Belt and Road". In the first eight months of this year, BOC domestic institutions handled 8.29 trillion yuan of cross-border RMB settlement, up 22% year on year, with a market share of nearly a quarter. Among them, the cross-border RMB settlement business between domestic institutions and countries jointly building the "Belt and Road" was 919.485 billion yuan, up 27.16% year on year.

With the continuous opening of China's financial market, the attraction of RMB assets to global investors has continued to increase, and the "circle of friends" of RMB has also continued to expand.

Liu Yunfei, Deputy General Manager of the Transaction Banking Department of Bank of China, introduced that in order to meet the market demand, Bank of China continued to enrich its products for overseas investors and provide relevant services to customers. In 2022, the Nairobi Representative Office of Bank of China facilitated the Central Bank of Kenya to purchase RMB denominated bonds and incorporate RMB assets into the foreign exchange reserve. At present, BOC has set up offices in 64 countries and regions overseas, and more than 80% of them have opened RMB business.

Liu Yunfei observed that in the past, RMB was mainly used for payment and settlement, but now more and more overseas enterprises begin to pay attention to their investment and reserve functions, and use RMB as an important financing channel supplement. Especially this year, the cost of RMB financing is relatively low. Many large overseas enterprises and financial institutions are very interested in raising RMB. The development opportunities of RMB are worth looking forward to.

According to the data provided by the Bank of China, from 2013 to 2023, the Bank's overseas institutions newly covered 26 countries, of which 22 were countries jointly building the "Belt and Road". By the end of June this year, the Bank of China had followed up more than 1000 corporate credit projects in the country and provided credit support of more than 290 billion dollars. (End)

key word: The Belt and Road Initiative Circle of friends Year on year growth Cross border Domestic institutions