The Central Bank of China urges state -owned companies to give priority to the yuan to expand abroad

Shanghai (Reuters) -The Central Bank in Cina said on Monday that it encourages state -owned institutions to give priority to the use of the yuan in paying and settlement in its expansion abroad, while it is seen as an official attempt to accelerate the internationalization of the yuan amid the intensification of global trade tensions.

Comments come when US President Donald Trump launched the so -called “mutual” tariffs, which rocked global trade and financial markets.

Although Trump announced a 90 -day stoppage of the planned tariff for most countries, he raised duties on Chinese goods to 145 %, which prompted Beijing to take revenge on counter -measures.

The Chinese People’s People’s Bank (PBOC) has said it encouraged the commercial banks in Shanghai to expand the scope of cross -border credit to the costs of company financing for companies and encourage imports and exports dominated by Yuan, according to a notice published on its website.

“It will enhance the construction of the cross -border bank payment system (CIPS) … study and move forward in the Blockchain technology application, provide safe and effective settlement and clearing services for global trading, shipping, investment and financial financing in the yuan,” PBOC said.

The central bank said it would also support the Shanghai gold exchange of gold to cooperate with other external exchanges and expand the application of normative yuan prices in the main global markets.

PBOC issued a notification with the national financial organizational management, the state administration in foreign currencies and the Shanghai municipal government.

(Shanghai News reports.