Singapore elbows out London as top offshore RMB clearing hub

Its RMB payments value soared 375%.

Citing SWIFT's RMB tracker, HSBC said Singapore has overtaken London as the top offshore RMB clearing centre after Hong Kong. Singapore's RMB payments value increased by 375% from March 2013 to March 2014.

Guy Harvey-Samuel, Group General Manager and CEO, HSBC Singapore:

"Today's news is further evidence of Singapore's status as a centre for RMB products in Southeast Asia. In Singapore, HSBC's RMB trade volume has more than doubled in the last 12 months. We are seeing both customers and suppliers becoming increasingly aware of the benefits of invoicing and settling in RMB. For Singapore businesses in general, it represents a unique chance to cut costs, reduce financial friction in the supply chain and open up new markets."

Tom Halpin, Global Head of Clearing and Foreign Currency Payments, HSBC:

"Singapore's impressive growth as a renminbi clearing centre since it gained clearing status in May shows its evolution as a vital hub for global as well as South-East Asian renminbi business. It is particularly interesting to note the increase in the share of payments coming from markets outside China and Hong Kong, as new businesses discover the advantages of making cross border payments in renminbi.

Singapore's rise bodes well for both London and Frankfurt after confirmation that renminbi clearing centres will be established in both cities. The rate of increase in payments activity by businesses and financial institutions shows the currency becoming an increasingly important part of international commerce. This is just the beginning of a very exciting new era in global trade."