Pakistan allows use of Chinese yuan for trade and investment

Both public and private sector enterprises may use the yuan for bilateral trade and investment, the central State Bank of Pakistan. (AFP)
Updated 19 February 2018
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Pakistan allows use of Chinese yuan for trade and investment

ISLAMABAD: Pakistan will allow the Chinese yuan to be used for imports, exports and financing transactions for bilateral trade and investment activities, in a move economists said Wednesday would simplify a massive Chinese investment project.
Both public and private sector enterprises may use the yuan for bilateral trade and investment, the central State Bank of Pakistan said in a statement issued Tuesday.
“As per current foreign exchange regulations, Chinese Yuan (CNY) is an approved foreign currency for denominating foreign currency transactions in Pakistan,” it said.
“In terms of regulations in Pakistan, CNY is at par with other international currencies such as USD, Euro and JPY,” it added.
The bank said that in light of a massive Chinese infrastructure project in Pakistan, the move would “yield long-term benefits for both the countries.”
The China-Pakistan Economic Corridor (CPEC), a $54 billion (SR202.50 billion) project launched in 2013 linking western China to the Indian Ocean via Pakistan, has been hailed as a “game changer” by Pakistani officials.
They hope the power stations and transmission lines built as part of the project will help ease Pakistan’s chronic power crisis.
Economic analyst and former government adviser on finance Salman Shah welcomed the State Bank’s move, saying that avoiding dollar transactions in the implementation of CPEC would “simplify matters very considerably.”
The Chinese economy is now one of the biggest in the world, he said, justifying the use of the Chinese currency of choice.


Yemen’s army advances in Maran Mountains towards central areas in Hajjah

Updated 24 min 18 sec ago
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Yemen’s army advances in Maran Mountains towards central areas in Hajjah

  • A senior military official confirmed the army’s progress towards the Houthi militia stronghold
  • Over 1300 Houthi militant were killed in the past 10 days

DUBAI: Yemeni Army Forces advanced through the Maran Mountains towards central areas of Al-Jamaymah in the northwestern Hajjah province following fierce clashes with the Houthi militia, Saudi state-news agency SPA reported.

A senior military official confirmed the army’s progress towards the Houthi militia stronghold, while also confirming over 1300 militant deaths in the past 10 days.

Earlier this week, several Houthi militants were killed and wounded in clashes with the Yemeni army in the central Al-Baydah province.

In a statement issued by the Yemeni Armed Forces website, a field source said that 7 members of the army were wounded, while several Houthis were killed.