************************************************************
The following is issued on behalf of the Hong Kong Monetary Authority:
The Second Hong KongˇVAustralia Renminbi Trade and Investment Dialogue, facilitated by the Hong Kong Monetary Authority (HKMA), the Australian Treasury, and the Reserve Bank of Australia (RBA), was held in Hong Kong today (May 22).
The Dialogue was attended by over 130 representatives from corporates and financial institutions. Discussions focused on how corporates, financial institutions, and investors can take advantage of the latest policy developments to strengthen renminbi (RMB) trade and investment links with China, as well as to make use of offshore RMB capital markets to meet their funding and investment needs. The Dialogue was opened by Mr Norman Chan, Chief Executive of the HKMA, and Dr Martin Parkinson, Secretary to the Australian Treasury. This was followed by presentations from representatives of the People's Bank of China and the Australian National University, and two panel discussions comprising experts from the Hong Kong, Australian and Chinese financial and business communities. The panel discussions were facilitated by the Deputy Governor of the RBA, Dr Philip Lowe, and the Deputy Chief Executive of the HKMA, Mr Eddie Yue, respectively.
A group of senior representatives from the Hong Kong and Australian offices of ANZ, Bank of China, Commonwealth Bank of Australia, HSBC, ICBC, JP Morgan, National Australia Bank, Standard Chartered Bank and Westpac are meeting this afternoon to review developments in RMB business since the first Dialogue and to consider ways to strengthen RMB products and services, with a view to facilitating greater participation of corporates and other customers in the RMB market.
Since the first Dialogue in Sydney last year, international use of the RMB has continued to gain momentum. The use of RMB by corporates in cross-border trade and investment transactions has increased, while RMB financial activities in the offshore markets have also grown. In Australia, 63% of respondents to a recent survey indicated that they expect to increase their RMB use in the future*. Meanwhile, RMB activities have continued to expand in Hong Kong, with the average daily turnover of the RMB Real Time Gross Settlement system increasing markedly to some RMB700 billion in March 2014.
The Dialogue is a private sector-led initiative which aims to provide a platform to foster closer collaboration between Hong Kong and Australia on RMB trade settlement and investment, the development of RMB-denominated banking products and closer RMB banking and financial links.
* Survey of Australian companies engaged in trade with China, conducted by the Centre for International Finance and Regulation. For details, please see www.cifr.edu.au/assets/document/CIFR%20Internationalisation%20of%20the%20RMB%20Report%20Final%20web.pdf .
Ends/Thursday, May 22, 2014
Issued at HKT 16:32
NNNN
