SHANGHAI: Financial institutions should optimise their products and services to help trade companies better hedge against foreign exchange risks and facilitate the use of the yuan in cross-border settlements, China’s three government departments say in a joint notice.
Released on by the Commerce Ministry, the People’s Bank of China and the State Administration of Foreign Exchange, the notice stated that small and medium-sized banks should launch more yuan derivative products to meet companies’ differentiated demand for hedging opportunities against foreign exchange risks.
