Suriname to introduce Chinese currency in trade settlement

The Central Bank of Suriname on Tuesday announced a decision saying imports from China will be directly settled in Renminbi, or the yuan, the Chinese currency, instead of the U.S. dollar.

The bank didn't disclose when it would start the move.

International payments for goods and services exporters and service providers in China are done in U.S. dollar at intermediary banks as the actual payment in China is only accepted in the yuan. This payment method through conversion of Surinamese dollar (SRD) to U.S. dollar and then to the yuan has an upward effect on the final price of the commodities bought from China, the bank explained in a press release.

By the introduction of the new method, the Central Bank of Suriname claim it can easily monitor payments to China in the yuan, and lower substantially the existing pressure on the SRD/USD exchange rate.

Importers of goods and services from China can file their forex (RMB) requirements with the Southern Commercial Bank in Suriname wherein the Central Bank will take care of the payment to China.

Suriname's imports from China exceeded 226 million U.S. dollars last year, according to the data given by the Central Bank of Suriname. Endite