HSBC Malaysia to Provide Perspectives to Help Customers Doing Business in China

KUALA LUMPUR, Feb 22 (Bernama) -- HSBC Bank Malaysia Bhd will look at ways to provide perspectives to help customers doing business with China, says Chief Executive Officer Mukhtar Hussain. In a statement Wednesday, he said in this regard, the bank will host the Asian & RMB Forum in Kuala Lumpur on Feb 27, 2017. "The forum is expected to discuss how China's long-term growth strategy will continue to change the global economic and financial landscape, while presenting prospects for markets that continue to be strongly connected to it, like Malaysia. Mukhtar said China is contiuously pushing ahead with its progressive financial reforms, its capital account opening and internationalising the renminbi(RMB). "We believe that forex (FX) reform will continue and make the yuan more flexible. "The RMB's stability should continue, although gradually depreciating in 2017 to roughly 7.20 by year-end, depending on the trend in the US dollar,” he added. He said as China and Malaysia strengthen trade and investment links, especially as the Belt and Road Initiative fuels increased infrastructure, trade and other investment projects, HSBC expects a greater interest and demand for a range of RMB solutions. This includes trade settlement, among others. The RMB is now the eighth-most traded currency as well as the most active emerging-markets currency, according to the Bank for International Settlements. The usage of the RMB in 2016 for payments between Malaysia and China (including Hong Kong) increased by 68 per cent over the last 12 months and by 214 per cent over the last three years. -- BERNAMA