China central bank urges state-owned businesses to prioritise yuan in overseas expansion

Shangers -China’s Central Bank stated that it encouraged the use of priority to state-owned enterprises and resolves their foreign expansion, which is considered an official attempt to intensify global trade tensions.

Comments come, as US President Donald Trump has launched so-called “mutual” tariffs, which shocked world trade and fragile financial markets.

Although Trump has announced a 90-day break of tariff campaigns for most countries, he caused 145% responsibilities to Chinese products, which Be Beijing revenge revenge.

The People’s Bank of China (PBOC) said that it encourages Shanghai commercial banks to expand cross-border credit expansion by lowering companies’ yuan funding and promoting Yuan dominant imports and exports.

PBOC has said: “It will strengthen the construction of the cross-border interbank payment system (CIRS).

The Central Bank noted that it will also support Shanghai gold exchange to cooperate with other foreign exchange exchanges and expand the prices of yuan benchmarks in the main world markets.

PBOC has issued the notification with the state administration of national financial regulatory management, foreign exchange administration and the Shanghai city government.

(Report by Shanghai NewSroom. Editing: Jane Merriman)