Yesterday, reporter learned that People's Bank of China and Argentina on the 29th at the Central Bank of Argentina signed the equivalent of 70 billion yuan RMB currency swap framework agreement, which is so far the history of China and Latin American countries on the largest financial transactions.
Protocol from being here 50 take part in the Inter-American Development Bank annual meeting of the People's Bank of China and Argentina signed by the Governor of the Bank. According to the framework agreement, Argentina imported goods from China may use RMB, no longer use the U.S. dollar as an intermediary currency transactions.
It is reported that the growing financial crisis at this very period of the spread of the region to stabilize the monetary system and guard against financial risks and reduce the spread of the crisis played a positive effect. In order to save the U.S. dollar resulting from the payment of costs and the promotion of bilateral trade development between the two countries after Argentina and Brazil have begun to use both the national currency to replace U.S. dollar-denominated trade.
Market analysts point out that this is China and the international community to the impact of a dominant position from the U.S. effort, the Federal Reserve's quantitative easing monetary policy to the U.S. dollar brought about by great uncertainty.
Source: www.china-cba.net Apr. 3, 2009
