PBOC to boost policy support, expand offshore yuan market and cross-border payments

China’s central bank will strengthen policy support for the economy and accelerate efforts to promote the international use of the renminbi, a PBOC Deputy Governor said Monday in a livestreamed address.

Said the People’s Bank of China (PBOC) will back the development of the offshore RMB market in Hong Kong, calling it a crucial step in reinforcing the city’s role as a global financial hub. “We will support the construction of a deeper, more liquid offshore yuan market and expand cross-border financial channels,” he said.

The central bank also plans to expand the RMB Cross-Border Interbank Payment System (CIPS), which facilitates yuan-denominated transactions globally, as part of Beijing’s long-term goal to reduce reliance on the U.S. dollar in trade and finance.

Said that as of the end of September, 1,176 foreign institutions had entered China’s domestic bond market, with total holdings reaching 3.8 trillion yuan (US$525 billion) — a sign of sustained international participation in the country’s financial markets despite global headwinds.

The remarks come as Beijing continues to balance stimulus measures with financial stability, seeking to support growth while advancing the yuan’s status as a global currency through Hong Kong’s financial gateway.