Standard Chartered has opened its first onshore Chinese renminbi (RMB) account for South Africa-based metals trader, Portland Steel.
“China is an increasingly influential trading partner for us, and the ability to exchange funds with both buyers and suppliers via an onshore RMB account will underpin successful trade relations,” says Roy Grayman, joint-CEO at Portland Steel. “Opening a Chinese currency (RMB) account with Standard Chartered has given us a competitive advantage, effectively enabling us to quote, sell and settle in RMB. Immediate access to RMB also increases our operational efficiencies by mitigating foreign exchange risks and reducing trade settlement costs associated with converting payments and settlements into USD.”
Trade between Africa and China exceeded $110 billion in 2010, up from $91billion in 2009, according to Standard Chartered, highlighting the increasing links between the two regions.