RMB to start direct trading with the Euro

BEIJING - The People’s Bank of China has announced that the RMB will start direct trading with the Euro, a move which BBVA Bank says marks another significant milestone in internationalization of the RMB. Under the direct trading mechanism, RMB market makers will be able to directly settle their RMB/ Euro transactions. “Direct trading will lower the transaction costs of market makers and facilitate settlements relating to bilateral trade and investment,” BBVA says. www.bbvaresearch.com (ATI).