Canadian Prime Minister Stephen Harper will announce the establishment of a trading hub for the Chinese currency in Canada during a state visit to Beijing starting today, according to a person familiar with the matter.
The deal will allow firms to exchange Canadian dollars directly with China’s tightly controlled currency rather than having to convert them to U.S. dollars said the person, who asked not to be identified because they’re not authorized to speak publicly.
Countries around the world have been racing to be designated trading hubs for the renminbi as China’s rise to become the world’s biggest goods trading nation saw turnover in its currency more than triple to $120 billion a day between 2010 and 2013, according to the Bank of International Settlements.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.