Shanghai to become China's yuan trading center

The Bank of China officially opened its national headquarters for yuan operation in Shanghai yesterday to support the city's goal of becoming a trading center of the Chinese currency.

China is working hard to make its currency market attractive and competitive on the global level. Lately China’s financial futures Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term announced that it is looking to expand derivatives trading while the Chinese Premier Wen Jiabao has stated more than once that the he wants to fast track the dilemmas the Yuan faces owing to restricted market flows on and off shore.

"The inauguration of Bank of China's yuan trading headquarters has a strategic importance of promoting Shanghai as a global center in yuan trading, pricing and Clearing Clearing Clearing is a general term that simply means many different things depending on the subject and related industry. Most commonly, this refers to the reciprocal exchange between banks of checks and drafts, and the settlement of the differences, or the total of claims settled at a clearinghouse. In finance and banking, the word clearing has different meanings depending on the more specific business model. Moving checks from the bank where they were deposited to the bank on which they were drawn. Th Clearing is a general term that simply means many different things depending on the subject and related industry. Most commonly, this refers to the reciprocal exchange between banks of checks and drafts, and the settlement of the differences, or the total of claims settled at a clearinghouse. In finance and banking, the word clearing has different meanings depending on the more specific business model. Moving checks from the bank where they were deposited to the bank on which they were drawn. Th Read this Term by 2015," said Shanghai Mayor Han Zheng at a ceremony marking the occasion.

Xiao Gang, Bank of China's chairman, said setting up the yuan trading headquarters is an important step in the bank's restructuring and cross-border development.

The headquarters in the Pudong New Area offers yuan trading, financial institutions and cross-border yuan settlement services. A source at the Bank of China told Shanghai Daily yesterday that the bank got approval from China's banking regulator a few days ago.

Shanghai aims to be the global center of yuan trading, pricing and clearing by 2015 as part of its 12th Five-Year Plan, which is a major step toward becoming a global financial center by 2020.