​The South African Reserve Bank (SARB) and the People’s Bank of China (PBoC) are pleased to announce the signing of a Memorandum of Understanding (MoU) for the purposes of clearing and settlement of Renminbi in South Africa.
The MoU signifies another important milestone reached in the continuous joint effort to build capabilities in the South African financial markets to better serve bilateral trade, investment and financial flows between China and South Africa.
China has become South Africa’s largest export partner and consequently, Renminbi clearing in South Africa will be immensely valuable as corporates will benefit greatly from trading and settling in Renminbi. Opening a clearing center in South Africa should boost trading in the Rand/Renminbi, which could make it easier and cheaper to trade in goods and services with China.
To view the official release, click here.