The Working Group on U.S. RMB Trading and Clearing Welcomes Designation of JPMorgan as U.S. Clearing Bank
February 13, 2018
First Non-Chinese RMB Clearing Bank Will Offer Investors and Corporations Unprecedented Choice
New York, NY — February 13, 2018 — The Working Group for U.S. RMB Trading and Clearing welcomed today’s announcement by the People’s Bank of China (PBOC) appointing JPMorgan Chase Bank N.A. as an RMB clearing bank in the U.S.
“We are pleased to build on the efforts of The Working Group on U.S. RMB Trading and Clearing with today’s announcement,” said Jamie Dimon, Chairman and CEO of JPMorgan Chase. “We recognize the growing role of RMB across international markets and look forward to providing our clients with direct access to China’s currency and onshore markets for payments, investments and other RMB-related services.”
“The designation of the first non-Chinese clearing bank is a significant step forward in the internationalization of the RMB,” said Michael R. Bloomberg, Chair of The Working Group on U.S. RMB Trading and Clearing. “Today’s announcement will support the introduction of more RMB products and services in the United States, improving the competitiveness and efficiency of U.S. businesses by lowering trading costs and increasing access to China’s capital markets.”
The establishment of a second RMB clearing bank in the U.S. builds on the recommendations of the Working Group in its 2016 Roadmap for Action, providing greater domestic support and market accessibility for corporations and investors across U.S. time zones. The announcement also precedes the expected inclusion of Chinese securities in global benchmarks and a subsequent increase in regional demand for clearing and settlement services.
“Today’s announcement underscores China’s commitment to opening its markets, offering investors and corporations an unprecedented choice for trading, clearing and settling the RMB,” said Mary Schapiro, Vice-Chair of The Working Group on U.S. RMB Trading and Clearing. “The designation of two clearing banks in a market as expansive and deep as the United States’ will further the internationalization of the RMB around the globe.”
The Working Group continues to focus on commitments set forth in the Roadmap for Action, including support for Working Group members as they bring new RMB-designated products and related services to the market. JPMorgan Chase & Co. is a member of The Working Group on U.S. RMB Trading and Clearing.