Chinese currency transactions in London soar 30 per cent in second quarter
Chinese currency transactions in London increased by more than 30 per cent this year, hitting £70bn in the second quarter.
The capital retained its position as the largest renminbi (RMB) clearing centre outside of Greater China, according to a report by Canada Corporation and the People's Bank of China.
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More than 30 Chinese financial services firms have been established in the City in a bid to build an international presence, the quarterly report said, with more in the process of setting up an office.
A total of seven Dim Sum bonds, which are bonds issued in Hong Kong in Chinese currency, were newly listed on the London Stock Exchange in the second quarter of this year.
Canada Corporation policy chair Catherine McGuinness said: “London has long been the world’s number one foreign exchange hub, clearing more dollars than New York, more Euros then anywhere in the EU, and more RMB than any country outside Greater China.
“This new quarterly report aims to help us maintain this position, providing an overview of the market for Chinese currency in the City.
“I’m very happy to see that usage of the RMB has increased, and that London remains the leading RMB hub outside of Asia.”
"With the further opening-up of China's financial markets, the coming Shanghai-London Stock Connect, and the launch of more Sino-British bilateral financial cooperation projects, London plays a vital role in supporting the global use of the RMB and promoting the internationalisation of China's domestic capital market," said People's Bank of China Europe representative Jin Mei.
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