Mauritius Renminbi Clearing Centre Facilitates China-Africa Trade
NEWS AGENCY:
Xinhua News Agency
DATE OF NEWS:
December 28, 2022
The Bank of Mauritius (BoM) launched a clearing center for renminbi (RMB) payments on December 16, 2022. The Mauritius Renminbi Clearing Centre is the third clearing center for the RMB on the African continent, following the establishment of similar centers in South Africa and Zambia. This clearing center is expected to facilitate China-Mauritius trade by reducing exchange rate costs and allowing Mauritian importers to request Chinese suppliers invoice in RMB so that the Mauritian banks can use this local RMB clearing center for international settlement.
In addition, the RMB clearing center in Mauritius is expected to be even more beneficial from a regional and global connectivity perspective as China has been Africa’s largest trading partner for more than 10 years. Mauritius has always been part of African regional initiatives and with this RMB clearing center, which links up different payment systems with different financial systems, Mauritius will become the bridge and hub links China with Africa.
In 2021, international payments in RMB accounted for 2.7 percent of all currency transactions and this figure has continued to grow. With the increasing usage of RMB in cross border transactions, the investment and economic cooperation between China and other countries will reach a new level.
Reference:
