HSBC expects Hong Kong to play a key role in boosting global demand for Chinese renminbi as the currency strengthens and becomes more widely used in international trade.
“There are very supportive market conditions for the currency to take on a larger role in the global financial system,” said Vina Cheung, global head of RMB internationalisation at HSBC Holdings, in an interview with Asian Banking & Finance.
Cheung, who has led the bank’s RMB team for 13 years, works with companies and investors to manage cross-border payments and investment flows using the Chinese currency.
The renminbi recently reached a 34-month high of 6.93 per dollar, according to the People’s Bank of China, and currently ranks as the sixth most-used currency for global payments by value based on data from the Society for Worldwide Interbank Financial Telecommunication.
Growing trade tensions between the United States and China have encouraged companies to diversify their currency exposure, increasing offshore demand for the renminbi.
Cheung noted that China continues to play an important role in global trade and supply chains, with companies adopting a “China+1” strategy to strengthen supply security. She said the country remains a central component of global production networks.
She also expects investment flows between China and the rest of the world to remain strong, which could further support the use of the renminbi in cross-border settlements and investments.
HSBC has centralised RMB clearing operations in Hong Kong and expanded its facility to $227b, allowing multinational corporations and Chinese companies to process payments more quickly and at lower cost. The bank also joined China’s Cross‑Border Interbank Payment System in late 2024 and has worked with regulators to support the currency’s internationalisation.
Cheung said the renminbi could eventually become the third most-used currency for global payments, improving from its fourth-place position in late 2024 and early 2025, according to SWIFT data.
She also pointed to progress in advancing women into senior banking roles, highlighting initiatives such as the HSBC Rise leadership programme launched in 2024 and partnerships with 100 Women in Finance, which supports the advancement of women in the financial services sector.
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