Forum sheds light on rising RMB usage

[geovalin]

The Chinese yuan is being used more extensively in dealings between Cambodian and Chinese firms to the detriment of the United States dollar, according to the Cambodian Central Bank. Speaking yesterday at a forum on the internationalisation of the Chinese yuan, also known as ‘renminbi’ (RMB), Sum Sannisith, deputy governor of the National Bank of Cambodia (NBC), said there has been a 10 percent jump in the use of the Chinese currency in trade exchanges between Cambodia and China.

 

“The RMB plays an increasingly important role in cross-border trade and investment in line with enhanced cooperation between Asean and China,” Mr Sannisith said. “As an Asean nation, and due to our close relation with China, Cambodia benefits from the internationalisation of the RMB,” he said.

 

Bolstering the use of the Chinese currency for cross-border settlements reduces the risks associated with fluctuations in the value of the US dollar, said Khou Vuthy, deputy director general for central banking at NBC. Moreover, accepting yuan is part of a growing trend that favours the use of local currencies in Asia, he added.

 

read more https://www.khmertimeskh.com/50544118/forum-sheds-light-on-rising-rmb-usage/

 

 

-- © Copyright Khmer Times 26/10

[simoh1490]

Currency swaps are the big thing both in Cambodia and Thailand, they eliminate Dollar risk.

 

http://www.eastasiaforum.org/2018/10/24/bilateral-currency-swaps-facility-and-risk/

http://www.xinhuanet.com/english/2018-01/08/c_136880422.htm