Lion City sharpens edge in RMB products
Singapore has a competitive edge in the development of renminbi-denominated products from commodities to real estate investment funds, the Hong Kong Economic Journal reported Monday, citing DBS Bank Ltd. treasury and markets head Andrew Ng.
Given the growth in bilateral trade between China and the member states of the Association of Southeast Asian Nations, Singapore is well-placed to surpass London as the second-biggest offshore hub for payments in the Chinese currency, Ng said, adding that RMB trade settlement is likely to keep expanding in the city.
But, Ng said, it will take a long time for the Lion City to take the top spot from Hong Kong, which accounted for 72.4 percent of RMB payment activity in March, according to the Society for Worldwide Interbank Financial Telecommunication. Singapore claimed 6.8 percent of the total that month, outperforming London.
Advances in the through train that lets individuals in Hong Kong and the mainland make cross-border stock investments are tipped to boost foreign exchange and securities transactions in the city.
Despite a downturn in the RMB exchange rate, Ng said the movement is unlikely to become a trend because there is real economic demand for the currency.
The drop was partially attributed to hedge fund speculation, Ng said, adding that it could be a good level to buy the RMB when it falls to 6.25 to the US dollar. Ng projected that the Chinese currency could rebound to 6.07 by the end of this year.
-- Contact us at [email protected]
VW/SK
-
Jordan lockdown ended, 13 virus cases detected
The government on Monday morning ended the lockdown restrictions on a block of streets in Jordan. The recent centre of a Covid-19 outbreak was sealed off early on Saturday More than 7,000 people in
-
Official blames late start of vaccination programme on logistics
When grilled on why Hong Kong has been slower to kickoff the Covid vaccination programme compared to other places like Singapore, Health Secretary Sophia Chan put the blame on logistics issues,
-
Vaccine experts: Protect the most vulnerable first
Given the uncertainty of the approval of mainland-made vaccines from Sinovac in the absence of enough clinical data, experts advising the government on its vaccination programme concluded that there
-
Flower markets crowd control measures hinge on Covid situation
Health officials these days are busy handling the coronavirus outbreak in Yau Tsim Mong region, while at the same time revving up the pandemic preventive measures for the upcoming Lunar New Year
-
No flower? No, flower! Ben Kwok
Flower growers in Hong Kong must have felt perplexed upon knowing the Lunar New Year Fair is back this year. Our government changed its mind and reversed its earlier decision to suspend the 15 flower
