Shanghai has recorded fast growth in the cross-border use of the Chinese yuan in the first two months of 2020, Central Bank data showed.
According to the bank, the record jumped 33 per cent year on year to 1.83 trillion yuan (about 259 billion U.S. dollars).
It said within January and February, cross-border yuan payment in the financial hub surged 51 per cent from the same period last year.
While cross-border yuan receipt went up to 19 per cent, according to the People’s Bank of China (PBOC) Shanghai Head Office.
“The cross-border payment and receipt of yuan in Shanghai accounted for 54 per cent of the national total in the two months.
“Its growth rate has outpaced the national pace of increase by 10 percentage points.
“Thanks to facilitating measures, the cross-border use of yuan on goods trade increased one per cent year on year in the reporting period.
“Bucking a broader declining trend as foreign trade weakened in the wake of the novel coronavirus outbreak,” the central bank said.
The bank, however, noted that the use of yuan in cross-border direct investment in Shanghai climbed to 46 per cent in the two-month period due to rising use of the two-way cross-border yuan capital pool.
It said that this helped domestic firms facing cash strain during the outbreak obtain funding support from their parent companies overseas in a timely and cost-efficient manner.