There is still great potential for Chinese yuan in cross-border settlement, according to Li Chenggang, China's assistant commerce minister, speaking on a forum during the first China International Import Expo (CIIE).
China has developed into the world's second largest economy and the largest trading country after its fast development in the past ten years, ranking among the world’s top three in terms of utilizing foreign capital and the second in terms of outbound investment, according to Li.
The International Monetary Fund (IMF) has granted Special Drawing Right (SDR) for China's RMB in 2016, helping RMB become the fifth largest payment currency, the third largest trade financing currency and the fifth largest foreign exchange currency in the world, Li added.
However, the percentage of China's RMB in cross-border settlement is still low compared with China's trade and investment scale, according to Li, noting that RMB should play a more active role in serving real economy development and facilitating convenient trade and investment.
The Ministry of Commerce (MOC) will further improve the financial infrastructure construction in the future, while facilitate enterprises' more convenient use of RMB in cross-border trade and investment amid China's further opening-up.