HSBC Mauritius offers accounts in Chinese yuan

For the first time, HSBC is offering customers the option to open bank accounts in renminbi (RMB or the yuan), which is the official currency of China.

Through the Renminbi Savings and Term Deposit Account, customers will be able to access what has until now been a restricted emerging market currency.

Talking about the new offer, HSBC Mauritius chief executive officer(CEO) Siew Meng Tan said, “Driven by China’s contribution to global trade and the gradual internationalisation of the currency, it will become an important currency in the region.”

Meng Tan believes that with the increasing sophistication of customers, there will be more demand, particularly from affluent customers, for products that will allow them to gain access to the renminbi.

“It provides customers an avenue to diversify their investments and unlock the full potential of the China growth story,” he said.

Meng Tan also said, “The Renminbi is expected to appreciate further in the coming years and China’s growing importance in terms of both exports and imports makes the currency hugely attractive.

As a strategic priority, Chinese policymakers have already introduced multiple accommodative taxation, trade finance and capital account measures to facilitate the renminbi internationalisation process.

“Cost savings on foreign exchange transactions and the appreciation of the renminbi is expected to encourage traders and investors, both in and out of China, to switch to the currency at the dollar’s expense,” said Meng Tan.