Yuan and dollarGetty ImahesChinese businesses are holding back from converting their foreign exchange earnings into the Chinese yuan.This is due to the yuan's weakness against the US dollar and higher offshore interest rates.The potential for "yuanisation" remains, given China's expanding trade ties and financial infrastructure.China has been trying to expand the clout of the Chinese yuan amid a broader trend to diversify away from the US dollar.However, even Chinese businesses aren't sold on the yuan right now.Official data from the People's Bank of China, the country's central bank, shows that foreign exchange deposits rose from $778.9 billion in September to $832.6 billion in March.This means some Chinese businesses have been holding back from converting their foreign exchange earnings into their home currency.This development appears to be primarily due to weakness in the yuan — which has hit five-month lows against the US dollar after losing nearly 2% to the greenback this year to date.

BING NEWS:
  • You Searched For "how to set up a business in china" and got 20 results
    How To Set Up A Business In China latest news, photos, videos, breaking news, special reports, blogs, and updates from Business Insider India ...
    06/18/2024 - 5:33 am | View Link
  • You Searched For "de dollarization china" and got 20 results
    China sold a record $53.3 billion worth of US Treasurys and agency bonds last quarter as it acceler… ...
    06/11/2024 - 5:51 am | View Link
  • De-dollarization is not working out in China, where businesses are hanging onto their US dollars
    China has been trying to expand the clout ... more of their offshore dollar earnings to yuan. While Chinese businesses are hanging onto their dollars because of yuan weakness, this trend also ...
    04/17/2024 - 10:23 pm | View Link
  • More

 

Welcome to Wopular!

Welcome to Wopular

Wopular is an online newspaper rack, giving you a summary view of the top headlines from the top news sites.

Senh Duong (Founder)
Wopular, MWB, RottenTomatoes

Subscribe to Wopular's RSS Fan Wopular on Facebook Follow Wopular on Twitter Follow Wopular on Google Plus

MoviesWithButter : Our Sister Site

More Business News