China's central bank to promote cross-border RMB use

The People's Bank of China (PBOC) will promote the use of renminbi (RMB) in cross-border payments, pricing, investment and financing, with an aim to facilitate international trade, investment and financing, according to a statement published Thursday.

The central bank said it would develop the offshore RMB market, leverage the roles of currency swaps and RMB clearing banks, and pledged to accelerate the construction of Shanghai's status as an international financial center and enhancing Hong Kong's status as an international financial center.

By the end of 2024, the RMB's share in global payments ranked fourth, while its share in global trade financing stood at third, indicating a steady rise in the internationalization of the RMB, according to data released at a conference held by the central bank from Monday to Tuesday.

In 2025, efforts will be made to expand the functions of the central bank in macro-prudential management and financial stability, improve the macro-prudential policy framework, and innovate relevant tools, the PBOC said during the meeting.

The PBOC will also improve financial management in the real estate sector to help reverse the market downturn and stabilize the sector.