In May 2024, Beijing announced a proposal for a 300bn CNY credit facility that could trigger bank financing for state-owned enterprises (SOEs) to buy unsold homes. Based on a Reuters report, Chinese banks are expected to furnish reduced loans to SOEs through this facility supported by the People’s Bank of China (BOC). This will enable…
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These requests came after a fiery rally affected long-term bond yields, which almost plunged to a historic low. Although drops such as must fit the debt market, they can also stem the allocation of loans needed to brace the economy. In an email to Bloomberg, the People’s Bank of China (PBOC) confirmed that it is…
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LeapRate Exclusive... The People's Bank of China, effectively China's central banking authority, has posted a notice on its website providing further warnings that it is planning to take measures to shut down what it terms illegal FX brokerage activity targeting China-based Retail FX traders. The notice, which also officially comes from the Ministry of Public Security…
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The People's Bank of China (PBC) and the Hong Kong Monetary Authority (HKMA) today jointly announced plans to establish a mutual market access scheme to connect the Mainland China and Hong Kong bond markets (Bond Connect). Through the bridging of related Mainland and Hong Kong financial infrastructure institutions, investors in one market will be able…
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The China Foreign Exchange Trade System (CFETS), the interbank trading and foreign exchange division of China's central bank, the People's Bank of China (PBoC) has announced 7 new direct renminbi trading links. The seven currencies which PBoC will launch direct trading as of Monday, December 12th include the Turkish lira (TRY), Polish zloty (PLN), the…
Read moreToday we learned from multiple reports emanating from the People's Bank of China (PBoC) that the Chinese central bank is going to place a reserve requirement on offshore renminbi, still mostly traded through Hong Kong banks. The move could be aimed at discouraging speculators that continue to bet that the CNH - offshore yuan could go lower. This all…
Read moreThe European Central Bank (ECB) and the People’s Bank of China (PBOC) today announced the successful testing of their bilateral currency swap arrangement. The arrangement was established in October 2013, with a maximum size of RMB 350 billion and EUR 45 billion. As part of the ECB’s plan to regularly test its operational capabilities, the…
Read moreThe National Bank of Belarus has carried out the first drawing under the agreement, which was initially signed on May 10, 2015.
Read more"The sale of treasury assets represents the 4th consecutive quarter of FX reserve depletion and JP Morgan estimates the total cumulative capital outflow at $520bn" - Steven Knight, Blackwell Global
Read moreBoth central banks agreed to coordinate and cooperate on the supervision, oversight and clearing of Renminbi in South Africa and also to exchange information in order to facilitate the continuous improvement and development of bi-lateral trade.
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