With Hong Kong already trading offshore yuan, and London hoping to take over that mantle in the coming years, China may just have taken another step toward making its currency convertible.
The China Development Bank initiative
China now plans to offer renminbi loans to other BRICS nations Brazil, Russia, India and South Africa, the Financial Times reported. The China Development Bank (CDBs) will reportedly sign a memorandum of understanding (MoU) in New Delhi with its BRICS counterparts on March 29. The five dominant emerging economies are signing the initiative in an effort to boost trade and promote the use of the renminbi for international trade over the dollar.