{"id":47573,"date":"2014-09-12T15:25:00","date_gmt":"2014-09-12T15:25:00","guid":{"rendered":"http:\/\/mostafa.openonline.co.uk\/?guid=4f91016e26ff8fe0bd79bc1b8b2511df"},"modified":"2014-09-12T15:25:00","modified_gmt":"2014-09-12T15:25:00","slug":"news-story-great-bonds-with-china-uk-china-dialogue-opens-economic-opportunities-as-britain-issues-first-rmb-debt","status":"publish","type":"post","link":"https:\/\/mostafa.openonline.co.uk\/?p=47573","title":{"rendered":"News story: Great Bonds with China: UK-China dialogue opens economic opportunities as Britain issues first RMB debt"},"content":{"rendered":"
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The Chancellor today announced Britain\u2019s intention to become the first western country to issue a bond in China\u2019s currency, the renminbi (RMB), as the sixth annual UK-China economic summit took place in London.<\/p>\n

In a clear sign of the growing strength of Britain and China\u2019s economic ties, the government today confirmed its intention to issue a RMB bond in the coming weeks and months, subject to market conditions. The size of the bond will be confirmed at the time of issuance, but is expected to be worthy of benchmark status in the market.<\/p>\n

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View the Policy Outcomes Paper and Factsheet from the UK-China 6th Economic and Financial Dialogue<\/a><\/p>\n<\/div>\n

This will be the first non-Chinese issuance of sovereign RMB debt and will be used to finance Britain\u2019s reserves. Up to now, Britain has only held reserves in US dollars, euros, yen and Canadian dollars, so today\u2019s announcement signals the RMB\u2019s potential as a future reserve currency.<\/p>\n

The Chancellor also welcomed China Development Bank\u2019s (CDB) announcement today that it has successfully issued a RMB 2 billion (\u00a3200 million) in London, the first by a quasi-sovereign outside of Greater China.<\/p>\n

Together, these bond issuances will cement Britain\u2019s position as the most important RMB market outside Greater China, and represent the next step in the government\u2019s long term economic plan to establish Britain as the centre of global finance.<\/p>\n

Britain is already the fastest growing market in Europe for RMB payments, more than doubling volumes from July 2013 to July 2014.<\/p>\n

In 2013, total RMB foreign exchange trading in London averaged $25.3 billion per day, which was a 50 per cent increase from 2012. <\/p>\n

The other elements of the package agreed at today\u2019s UK-China Economic and Financial Dialogue (EFD), which represent the most substantive set of measures ever agreed between the two countries, include:<\/p>\n