China will make Shanghai the global center of yuan trading, clearing and pricing by 2015, according to a specific state plan laying out the city’s future as an international financial centre.
The detailed plan, published jointly by the country’s economic planning agency and the Shanghai government, shows the scale of China’s ambition in creating its own version of New York, London or Hong Kong.
The National Development and Reform Commission envisions a trading hub with annual non-forex financial market volume of 1,000 trillion yuan ($158.3 trillion) by 2015 from less than 400 trillion in 2010.
The plan said the daily mid-point price published by the central bank in the onshore yuan market would be the benchmark for both domestic and foreign yuan trading markets, and the government-backed Shanghai Interbank Offered Rate, or Shibor, would be the benchmark for yuan credit everywhere.
China would also encourage overseas companies to sell yuan-denominated shares in its domestic stock markets, but the plan did not give a detailed timetable.
Is there anymore of an indication that the yuan will be the world’s currency one day?