Shanghai starts pilot projects to allow firms to combine yuan, foreign currencies accounts

 

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The Shanghai branch of the People’s Bank of China (PBOC) has launched a pilot program in the city’s Pilot Free Trade Zone to allow companies to combine yuan and foreign currencies accounts into one.

A total of 242 business outlets from five financial institutions, including the Bank of China and the Industrial and Commercial Bank of China, in the FTZ have participated in the project, according to local government-backed news portal Shanghai Observer.

With the reform, companies in the Shanghai FTZ no longer need to set up different accounts for receiving or paying different currencies, it said. 

Prior to Shanghai, three cities in South China’s Hainan Province started a pilot project, the local government-backed Hainan Daily noted. Similar reform also landed in Qingdao of East China’s Shandong Province recently, a statement from the PBOC said.