Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Westpac receives NZD/CNY ‘Market Makers’ Licence in China

Westpac receives NZD/CNY ‘Market Makers’ Licence in China


Possibilities for closer ties between New Zealand and Chinese business took a step closer with Westpac receiving approval from the People’s Bank of China to act as a market maker for direct trading of NZD/CNY on the China Foreign Exchange Trading System.

The ‘market maker’ licence allows direct interbank trading of NZD/CNY meaning reduced transactional costs and over time increased liquidity to currency deals between New Zealand and Chinese trading partners. NZD is only the 4th currency to be granted ‘market maker’ status.

Westpac NZ Chief Executive Peter Clare says today’s announcement helps make trade with China more efficient and will open future opportunities to strengthen the ties between the two countries.

“China/New Zealand trade is a long term growth story. As one of the first banks to offer direct convertibility for mainland China transactions, Westpac plays an important role in this connection, making it easier for our customers to do business in China,” Mr Clare said.

Westpac NZ General Manager Corporate and Institutional Bank Karen Silk says being one of only two Australian/New Zealand banks to offer direct convertibility for mainland China transactions builds on Westpac Group’s Asia strategy and helps seamlessly connect our customers to China.

“Westpac is building opportunities for New Zealand businesses by supporting customers to take part in the growing trade and investment flows in the region.

“This is another example of deepening our capability in strategic regions where we have existing leadership positions and expanding our product and service offering.”

Westpac has been present in China for more than 40 years and has extensive renminbi capability in China and has foreign exchange dealers located in Shanghai.

Westpac’s Asian branch network includes branches in Beijing, Shanghai, Hong Kong, Singapore and Mumbai and a representative office in Jakarta.

Fact Box

· The NZD is the 4th currency to be granted ‘market maker’ status

· The CNY is now ranked by SWIFT as the 2nd most used currency in trade finance

· NZD is 10th most traded currency in global FX markets

Benefits for Kiwi businesses

· Direct convertibility between the NZD/CNY cutting out the need to cross through the USD

· Reduced costs of trading

· Increased visibility of New Zealand business in China

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Leighton-Led WGP To Build, Manage Transmission Gully

The Wellington Gateway Partnership, led by a unit of ASX-listed Leighton Holdings, has won the $1 billion contract to build the Transmission Gully road north of Wellington. More>>

ALSO:

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news