Frankfurt is in contention for becoming the first trading center for China's currency in the EURO area. But the rivals never rest. The chances for Frankfurt increase. Perhaps the agreement of such an "offshore center" at the end of March will be agreed during the visit of the Chinese party and state chiefs Xi Jinping in Germany. It is Xi's first trip to the Federal Republic since he has taken the lead in the second largest economy in the world a year ago. The German financial center would benefit of the growing importance of the Yuan.
Beijing sees Berlin as capital of Europe. Since no other currency rises so fast the Renminbi could soon move into the top group. However, Dollar and Euro remain with 72 percent of all payment processing unassailable from today's perspective. The Renminbi brings it to less than 1.4%. The British Pound ranks far before that. In addition, the Renminbi is mainly used in Asia. Almost three quarters of all settlements in the Chinese Special Economic Area of Hong Kong as a leading "offshore center" are done in the Chinese currency.
Beijing sees Berlin as capital of Europe. Since no other currency rises so fast the Renminbi could soon move into the top group. However, Dollar and Euro remain with 72 percent of all payment processing unassailable from today's perspective. The Renminbi brings it to less than 1.4%. The British Pound ranks far before that. In addition, the Renminbi is mainly used in Asia. Almost three quarters of all settlements in the Chinese Special Economic Area of Hong Kong as a leading "offshore center" are done in the Chinese currency.
