SlideShare a Scribd company logo
1 of 1
Download to read offline
20th
position
An Economist Intelligence Unit report, commissioned by Allen & Overy
An Economist Intelligence Unit survey, commissioned by Allen & Overy
China’s currency, the renminbi (RMB) has become international with
amazing speed. How are global businesses managing its rise?
102%
0
20
40
60
80
100
120
RMB All currencies
4.4%
2014 global payments value growthRMB’s position in total value of
currencies used for global
payments (according to SWIFT)
20th
position
2011
2013
5th
position
2015
JANUARY
The dramatic rise in international usage of RMB
is the result of steps taken by China to open up
its financial markets. Non-Chinese companies’
use of the currency is expanding and changing
dramatically
Importance of RMB to
international business
15%
75%
RMB is important
to their business
RMB is very important to
their business
Multinationals are using RMB for
much more than just payments
Top 5corporate usages of RMB offshore other than
trade settlement. In the past year (% respondents):
47%
51%
50%
49%
48%
To pay staff/payroll
Intercompany cross-border lending
Channel RMB offshore and convert to
other currencies
Channel RMB offshore without
converting to other currencies
To finance acquisitions
Why paying in RMB is paying off
Top 5reasons for using RMB in cross-border
transactions:
To lower transaction costs
To lower funding costs/cost of capital
To access new business opportunities
To broaden access to onshore buyers and
suppliers
For timelier settlement
¥
0
20
40
60
80
100
Devolved
m
ore
pow
erto
decision-m
akers
in
m
ainland
Relocated
regionaltreasury
operations
to
China
Allow
ed
greaterpricing
pow
er
overproducts
in
China
Expanded
expansion
strategyto
‘second
tier’cities
in
China
M
ore
flexibilityin
setting
salaries
and
benefits
in
China
G
reaterexpansion
overseas
from
operations
based
in
China
Restructuring
ofregional
supplier/vendornetw
ork
Restructuring
ofglobal
supplier/vendornetw
ork
M
ore
investm
entdevoted
to
m
ainland
expansion
plans
(because
oflow
erfunding
costs)
Strategic shifts
How internationalisation of the RMB has affected company strategy
Already done
Not done yet but possible with further liberalisation of RMB
To download the full report visit
http://www.allenovery.com/news/en-gb/articles/Pages/Multinationals-are-ill-equipped-to-handle-rapid-rise-in-RMB.aspx
The report is based on a survey of 150 senior executives conducted in January-February 2015, including 50 from each of the US, Europe and the
Asia-Pacific region. All the companies in the survey have some exposure to the remninbi, but companies headquartered in greater China were
excluded to ensure the results reflected how the liberalization of the currency is affecting corporate strategy globally. Data are % respondents to
survey unless noted.
Percentage of respondents paying/receiving in RMB for settlement of cross-border trade in:
IndiaRussia Mainland
China
Australia/
New Zealand
Africa UK The Euro
Zone
Japan North
America
Middle
East
Other
ASEAN
Countries
Hong
Kong
SingaporeTaiwanSouth
Korea
88%79%75%61%
59%
58%57%54%48%
48%
46%40%37%36%34%
Frankfurt
Most attractive locations outside Hong Kong for managing RMB liquidity over next 5 years
0
10
20
30
40
50
60
70
80
Shanghai
FTZ
Singapore Luxembourg London Frankfurt
Where will win?
78%
Shanghai FTZ
33%
London
52%
Luxembourg
14%
77%
Singapore
0
10
20
30
40
50
60
70
80
Hurdles to clear
The rapidly increasing volume of RMB-denominated transactions presents challenges for many companies
% respondents rating issue “very important” or “important”
0
10
20
30
40
50
60
70
80
2 3 41
2
3
4
1
Lack of common technical standards
Uncertainty over exposure to regulatory risk
Political risk; i.e., China policy reversal
Delays in rollout of CIPS
57%
31%
28%
74%
% respondents rating issue “very important” or “important”
2 3 41
Poor understanding within company about RMB transactions
Need for changes to intra-company invoicing model
Need for company to devise new hedging strategy
Poor onshore-offshore bank IT connectivity
44%
40%
38%
77%
2
3
4
1Company-specific obstacles
Regulatory obstacles
RMB: the new global currency
Generation ¥

More Related Content

What's hot

SVB Q3 State of the Markets Report
SVB Q3 State of the Markets ReportSVB Q3 State of the Markets Report
SVB Q3 State of the Markets ReportSilicon Valley Bank
 
Final upfront lp survey data 2016
Final upfront lp survey data 2016Final upfront lp survey data 2016
Final upfront lp survey data 2016Mark Suster
 
Upfront State of the VC & Tech Industry 2017
Upfront State of the VC & Tech Industry 2017Upfront State of the VC & Tech Industry 2017
Upfront State of the VC & Tech Industry 2017Mark Suster
 
SVB State of the Markets Report
SVB State of the Markets Report SVB State of the Markets Report
SVB State of the Markets Report Silicon Valley Bank
 
Upfront LP Survey of the Venture Capital & Startup Industry
Upfront LP Survey of the Venture Capital & Startup IndustryUpfront LP Survey of the Venture Capital & Startup Industry
Upfront LP Survey of the Venture Capital & Startup IndustryMark Suster
 
Innovation Economy Outlook 2014 - Global Report
Innovation Economy Outlook 2014 - Global ReportInnovation Economy Outlook 2014 - Global Report
Innovation Economy Outlook 2014 - Global ReportSilicon Valley Bank
 
SpringOwl Yahoo! Investor Presentation
SpringOwl Yahoo! Investor PresentationSpringOwl Yahoo! Investor Presentation
SpringOwl Yahoo! Investor PresentationRazin Mustafiz
 
SaaStr 2016 State of VC Market
SaaStr 2016 State of VC MarketSaaStr 2016 State of VC Market
SaaStr 2016 State of VC Marketalexwilhelm
 
Upfront Ventures VC Survey 2017
Upfront Ventures VC Survey 2017Upfront Ventures VC Survey 2017
Upfront Ventures VC Survey 2017Mark Suster
 
Sequoia Capital downturn presentation
Sequoia Capital downturn presentationSequoia Capital downturn presentation
Sequoia Capital downturn presentationguest14c91
 
LA Venture Capital Report Q1 2015 – CB Insights & Upfront Venture
LA Venture Capital Report Q1 2015 – CB Insights & Upfront VentureLA Venture Capital Report Q1 2015 – CB Insights & Upfront Venture
LA Venture Capital Report Q1 2015 – CB Insights & Upfront VentureUpfront Ventures
 
Innovation Economy Outlook 2014 - UK Report
Innovation Economy Outlook 2014 - UK ReportInnovation Economy Outlook 2014 - UK Report
Innovation Economy Outlook 2014 - UK ReportSilicon Valley Bank
 
Asean landscape overview
Asean landscape overview Asean landscape overview
Asean landscape overview Yon Heong
 
Infographic: World Wealth Report 2015
Infographic: World Wealth Report 2015Infographic: World Wealth Report 2015
Infographic: World Wealth Report 2015Capgemini
 
Cb insights asia-tech-investment-report
Cb insights asia-tech-investment-reportCb insights asia-tech-investment-report
Cb insights asia-tech-investment-reportGalen Growth
 
Southern California Startup Outlook 2017
Southern California Startup Outlook 2017 Southern California Startup Outlook 2017
Southern California Startup Outlook 2017 Silicon Valley Bank
 

What's hot (20)

2017 State of the Venture Capital Industry
2017 State of the Venture Capital Industry2017 State of the Venture Capital Industry
2017 State of the Venture Capital Industry
 
SVB Q3 State of the Markets Report
SVB Q3 State of the Markets ReportSVB Q3 State of the Markets Report
SVB Q3 State of the Markets Report
 
SVB US Startup Outlook 2016
SVB US Startup Outlook 2016SVB US Startup Outlook 2016
SVB US Startup Outlook 2016
 
Final upfront lp survey data 2016
Final upfront lp survey data 2016Final upfront lp survey data 2016
Final upfront lp survey data 2016
 
Upfront State of the VC & Tech Industry 2017
Upfront State of the VC & Tech Industry 2017Upfront State of the VC & Tech Industry 2017
Upfront State of the VC & Tech Industry 2017
 
SVB State of the Markets Report
SVB State of the Markets Report SVB State of the Markets Report
SVB State of the Markets Report
 
UK Startup Outlook Report 2017
UK Startup Outlook Report 2017UK Startup Outlook Report 2017
UK Startup Outlook Report 2017
 
Upfront LP Survey of the Venture Capital & Startup Industry
Upfront LP Survey of the Venture Capital & Startup IndustryUpfront LP Survey of the Venture Capital & Startup Industry
Upfront LP Survey of the Venture Capital & Startup Industry
 
Innovation Economy Outlook 2014 - Global Report
Innovation Economy Outlook 2014 - Global ReportInnovation Economy Outlook 2014 - Global Report
Innovation Economy Outlook 2014 - Global Report
 
SpringOwl Yahoo! Investor Presentation
SpringOwl Yahoo! Investor PresentationSpringOwl Yahoo! Investor Presentation
SpringOwl Yahoo! Investor Presentation
 
SaaStr 2016 State of VC Market
SaaStr 2016 State of VC MarketSaaStr 2016 State of VC Market
SaaStr 2016 State of VC Market
 
2016 State of the Venture Capital Industry
2016 State of the Venture Capital Industry2016 State of the Venture Capital Industry
2016 State of the Venture Capital Industry
 
Upfront Ventures VC Survey 2017
Upfront Ventures VC Survey 2017Upfront Ventures VC Survey 2017
Upfront Ventures VC Survey 2017
 
Sequoia Capital downturn presentation
Sequoia Capital downturn presentationSequoia Capital downturn presentation
Sequoia Capital downturn presentation
 
LA Venture Capital Report Q1 2015 – CB Insights & Upfront Venture
LA Venture Capital Report Q1 2015 – CB Insights & Upfront VentureLA Venture Capital Report Q1 2015 – CB Insights & Upfront Venture
LA Venture Capital Report Q1 2015 – CB Insights & Upfront Venture
 
Innovation Economy Outlook 2014 - UK Report
Innovation Economy Outlook 2014 - UK ReportInnovation Economy Outlook 2014 - UK Report
Innovation Economy Outlook 2014 - UK Report
 
Asean landscape overview
Asean landscape overview Asean landscape overview
Asean landscape overview
 
Infographic: World Wealth Report 2015
Infographic: World Wealth Report 2015Infographic: World Wealth Report 2015
Infographic: World Wealth Report 2015
 
Cb insights asia-tech-investment-report
Cb insights asia-tech-investment-reportCb insights asia-tech-investment-report
Cb insights asia-tech-investment-report
 
Southern California Startup Outlook 2017
Southern California Startup Outlook 2017 Southern California Startup Outlook 2017
Southern California Startup Outlook 2017
 

Viewers also liked

Matriz de valoracion pid y aamtic
Matriz de valoracion pid y aamticMatriz de valoracion pid y aamtic
Matriz de valoracion pid y aamticPolo Apolo
 
統一日報<青年、学生、留学生座談>
統一日報<青年、学生、留学生座談>統一日報<青年、学生、留学生座談>
統一日報<青年、学生、留学生座談>Buheon Shin
 
2016 Training Trends: Experts Weigh In
2016 Training Trends: Experts Weigh In 2016 Training Trends: Experts Weigh In
2016 Training Trends: Experts Weigh In AllenComm
 
SlideShare - Where Next?
SlideShare - Where Next?SlideShare - Where Next?
SlideShare - Where Next?Amit Ranjan
 
The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008
The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008
The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008Amit Ranjan
 
El puercoespin
El puercoespinEl puercoespin
El puercoespinjuly ortiz
 
Presentación webinar Google AMP y WordPress
Presentación webinar Google AMP y WordPressPresentación webinar Google AMP y WordPress
Presentación webinar Google AMP y WordPressSiteGround España
 
Verilog-HDL Tutorial (12)
Verilog-HDL Tutorial (12)Verilog-HDL Tutorial (12)
Verilog-HDL Tutorial (12)Hiroki Nakahara
 
Smx March 2010 Bing Realtime Social
Smx March 2010 Bing Realtime SocialSmx March 2010 Bing Realtime Social
Smx March 2010 Bing Realtime Socialssuchter
 
How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...
How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...
How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...Doyle Buehler
 
Evolution and Trauma in Corporate e-Learning @ ICERI 2014 Seville
Evolution and Trauma in Corporate e-Learning @ ICERI 2014 SevilleEvolution and Trauma in Corporate e-Learning @ ICERI 2014 Seville
Evolution and Trauma in Corporate e-Learning @ ICERI 2014 SevilleRosario Cação
 

Viewers also liked (20)

Matriz de valoracion pid y aamtic
Matriz de valoracion pid y aamticMatriz de valoracion pid y aamtic
Matriz de valoracion pid y aamtic
 
El seat 600
El seat 600El seat 600
El seat 600
 
統一日報<青年、学生、留学生座談>
統一日報<青年、学生、留学生座談>統一日報<青年、学生、留学生座談>
統一日報<青年、学生、留学生座談>
 
秋玫姐演講
秋玫姐演講秋玫姐演講
秋玫姐演講
 
dispelling darkness ...
dispelling darkness ...dispelling darkness ...
dispelling darkness ...
 
2016 Training Trends: Experts Weigh In
2016 Training Trends: Experts Weigh In 2016 Training Trends: Experts Weigh In
2016 Training Trends: Experts Weigh In
 
SlideShare - Where Next?
SlideShare - Where Next?SlideShare - Where Next?
SlideShare - Where Next?
 
Art Perspectives (Nx Power Lite)
Art Perspectives (Nx Power Lite)Art Perspectives (Nx Power Lite)
Art Perspectives (Nx Power Lite)
 
The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008
The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008
The SlideShare Zeitgeist 2008 - The World's Presentation trends for 2008
 
El puercoespin
El puercoespinEl puercoespin
El puercoespin
 
Presentación webinar Google AMP y WordPress
Presentación webinar Google AMP y WordPressPresentación webinar Google AMP y WordPress
Presentación webinar Google AMP y WordPress
 
Is digital technology re-wiring your brain?
Is digital technology re-wiring your brain?Is digital technology re-wiring your brain?
Is digital technology re-wiring your brain?
 
Q 35 fr
Q 35 frQ 35 fr
Q 35 fr
 
O Samba
O SambaO Samba
O Samba
 
Verilog-HDL Tutorial (12)
Verilog-HDL Tutorial (12)Verilog-HDL Tutorial (12)
Verilog-HDL Tutorial (12)
 
Gluecon keynote
Gluecon keynoteGluecon keynote
Gluecon keynote
 
Site Analysis PDSB
Site Analysis PDSBSite Analysis PDSB
Site Analysis PDSB
 
Smx March 2010 Bing Realtime Social
Smx March 2010 Bing Realtime SocialSmx March 2010 Bing Realtime Social
Smx March 2010 Bing Realtime Social
 
How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...
How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...
How To Kick Ass Online Webinar - Part 3 Digital Leadership Website Sales Funn...
 
Evolution and Trauma in Corporate e-Learning @ ICERI 2014 Seville
Evolution and Trauma in Corporate e-Learning @ ICERI 2014 SevilleEvolution and Trauma in Corporate e-Learning @ ICERI 2014 Seville
Evolution and Trauma in Corporate e-Learning @ ICERI 2014 Seville
 

Similar to Generation ¥ - RMB: the new global currency infographic

RMB Internalization and Trade from China: Opportunity for greater Growth
RMB Internalization and Trade from China: Opportunity for greater GrowthRMB Internalization and Trade from China: Opportunity for greater Growth
RMB Internalization and Trade from China: Opportunity for greater GrowthSWIFT
 
A Delicate Stage: The Future of Renminbi as a Global Investment Currency
A Delicate Stage: The Future of Renminbi as a Global Investment CurrencyA Delicate Stage: The Future of Renminbi as a Global Investment Currency
A Delicate Stage: The Future of Renminbi as a Global Investment CurrencyThe Economist Media Businesses
 
Digital Disruption in Wealth Management - FinanceConnect Singapore
Digital Disruption in Wealth Management - FinanceConnect SingaporeDigital Disruption in Wealth Management - FinanceConnect Singapore
Digital Disruption in Wealth Management - FinanceConnect SingaporeLinkedIn Singapore
 
RMB Tracker Ferbuary 2015
RMB Tracker Ferbuary 2015RMB Tracker Ferbuary 2015
RMB Tracker Ferbuary 2015SWIFT
 
After the Fall: The Path Forward for China’s Economy and Stock Market
After the Fall: The Path Forward for China’s Economy and Stock MarketAfter the Fall: The Path Forward for China’s Economy and Stock Market
After the Fall: The Path Forward for China’s Economy and Stock MarketFederal Reserve Bank of San Francisco
 
2015 Top-10 Financial Technology Trends
2015 Top-10 Financial Technology Trends2015 Top-10 Financial Technology Trends
2015 Top-10 Financial Technology TrendsKapronasia
 
2015 China Financial Industry Trends and Outlook
2015 China Financial Industry Trends and Outlook2015 China Financial Industry Trends and Outlook
2015 China Financial Industry Trends and OutlookKapronasia
 
2016 China Financial Industry Trends and Outlook
2016 China Financial Industry Trends and Outlook2016 China Financial Industry Trends and Outlook
2016 China Financial Industry Trends and OutlookKapronasia
 
UFI, The Global Association of the Exhibition Industry barometer for 2015
UFI, The Global Association of the Exhibition Industry barometer for 2015UFI, The Global Association of the Exhibition Industry barometer for 2015
UFI, The Global Association of the Exhibition Industry barometer for 2015Lausanne Montreux Congress
 
AmCham Taipei 2016 Business Climate Survey - Full results Jan 19
AmCham Taipei 2016 Business Climate Survey - Full results Jan 19AmCham Taipei 2016 Business Climate Survey - Full results Jan 19
AmCham Taipei 2016 Business Climate Survey - Full results Jan 19Gordon Stewart
 
AmCham 2016 Business Climate Survey Full results Jan 19
AmCham 2016 Business Climate Survey Full results Jan 19AmCham 2016 Business Climate Survey Full results Jan 19
AmCham 2016 Business Climate Survey Full results Jan 19Gordon Stewart
 
SWIFT RMB Tracker November 2014
SWIFT RMB Tracker November 2014SWIFT RMB Tracker November 2014
SWIFT RMB Tracker November 2014SWIFT
 
China IPO CFO Report - July 2015 - Final
China IPO CFO Report - July 2015 - FinalChina IPO CFO Report - July 2015 - Final
China IPO CFO Report - July 2015 - FinalRachel Ouyang
 
Emerging Markets: Pathways to Selection
Emerging Markets: Pathways to Selection Emerging Markets: Pathways to Selection
Emerging Markets: Pathways to Selection Kimberlee Luce
 
SWIFT LARC 2016- Securities- Work Session
SWIFT LARC 2016- Securities- Work SessionSWIFT LARC 2016- Securities- Work Session
SWIFT LARC 2016- Securities- Work SessionSWIFT
 

Similar to Generation ¥ - RMB: the new global currency infographic (20)

Generation ¥ - RMB: the new global currency
Generation ¥ - RMB: the new global currencyGeneration ¥ - RMB: the new global currency
Generation ¥ - RMB: the new global currency
 
RMB Internalization and Trade from China: Opportunity for greater Growth
RMB Internalization and Trade from China: Opportunity for greater GrowthRMB Internalization and Trade from China: Opportunity for greater Growth
RMB Internalization and Trade from China: Opportunity for greater Growth
 
A Delicate Stage: The Future of Renminbi as a Global Investment Currency
A Delicate Stage: The Future of Renminbi as a Global Investment CurrencyA Delicate Stage: The Future of Renminbi as a Global Investment Currency
A Delicate Stage: The Future of Renminbi as a Global Investment Currency
 
Digital Disruption in Wealth Management - FinanceConnect Singapore
Digital Disruption in Wealth Management - FinanceConnect SingaporeDigital Disruption in Wealth Management - FinanceConnect Singapore
Digital Disruption in Wealth Management - FinanceConnect Singapore
 
RMB Tracker Ferbuary 2015
RMB Tracker Ferbuary 2015RMB Tracker Ferbuary 2015
RMB Tracker Ferbuary 2015
 
After the Fall: The Path Forward for China’s Economy and Stock Market
After the Fall: The Path Forward for China’s Economy and Stock MarketAfter the Fall: The Path Forward for China’s Economy and Stock Market
After the Fall: The Path Forward for China’s Economy and Stock Market
 
2015 Top-10 Financial Technology Trends
2015 Top-10 Financial Technology Trends2015 Top-10 Financial Technology Trends
2015 Top-10 Financial Technology Trends
 
2015 China Financial Industry Trends and Outlook
2015 China Financial Industry Trends and Outlook2015 China Financial Industry Trends and Outlook
2015 China Financial Industry Trends and Outlook
 
Where next?
Where next?Where next?
Where next?
 
2016 China Financial Industry Trends and Outlook
2016 China Financial Industry Trends and Outlook2016 China Financial Industry Trends and Outlook
2016 China Financial Industry Trends and Outlook
 
UFI, The Global Association of the Exhibition Industry barometer for 2015
UFI, The Global Association of the Exhibition Industry barometer for 2015UFI, The Global Association of the Exhibition Industry barometer for 2015
UFI, The Global Association of the Exhibition Industry barometer for 2015
 
AmCham Taipei 2016 Business Climate Survey - Full results Jan 19
AmCham Taipei 2016 Business Climate Survey - Full results Jan 19AmCham Taipei 2016 Business Climate Survey - Full results Jan 19
AmCham Taipei 2016 Business Climate Survey - Full results Jan 19
 
AmCham 2016 Business Climate Survey Full results Jan 19
AmCham 2016 Business Climate Survey Full results Jan 19AmCham 2016 Business Climate Survey Full results Jan 19
AmCham 2016 Business Climate Survey Full results Jan 19
 
SWIFT RMB Tracker November 2014
SWIFT RMB Tracker November 2014SWIFT RMB Tracker November 2014
SWIFT RMB Tracker November 2014
 
Trade and Investment Forum - 07 June
Trade and Investment Forum - 07 June Trade and Investment Forum - 07 June
Trade and Investment Forum - 07 June
 
The Beijing Axis on Africa's Mining Future - Mining Indaba, February 2014
The Beijing Axis on Africa's Mining Future - Mining Indaba, February 2014The Beijing Axis on Africa's Mining Future - Mining Indaba, February 2014
The Beijing Axis on Africa's Mining Future - Mining Indaba, February 2014
 
China IPO CFO Report - July 2015 - Final
China IPO CFO Report - July 2015 - FinalChina IPO CFO Report - July 2015 - Final
China IPO CFO Report - July 2015 - Final
 
Emerging Markets: Pathways to Selection
Emerging Markets: Pathways to Selection Emerging Markets: Pathways to Selection
Emerging Markets: Pathways to Selection
 
SWIFT LARC 2016- Securities- Work Session
SWIFT LARC 2016- Securities- Work SessionSWIFT LARC 2016- Securities- Work Session
SWIFT LARC 2016- Securities- Work Session
 
GEAF16 brochure 17Feb
GEAF16 brochure 17FebGEAF16 brochure 17Feb
GEAF16 brochure 17Feb
 

More from The Economist Media Businesses

Digital platforms and services: A development opportunity for ASEAN
Digital platforms and services: A development opportunity for ASEANDigital platforms and services: A development opportunity for ASEAN
Digital platforms and services: A development opportunity for ASEANThe Economist Media Businesses
 
Sustainable and actionable: A study of asset-owner priorities for ESG investi...
Sustainable and actionable: A study of asset-owner priorities for ESG investi...Sustainable and actionable: A study of asset-owner priorities for ESG investi...
Sustainable and actionable: A study of asset-owner priorities for ESG investi...The Economist Media Businesses
 
Lung cancer in Latin America: Time to stop looking away
Lung cancer in Latin America: Time to stop looking awayLung cancer in Latin America: Time to stop looking away
Lung cancer in Latin America: Time to stop looking awayThe Economist Media Businesses
 
Intelligent Economies: AI's transformation of industries and society
Intelligent Economies: AI's transformation of industries and societyIntelligent Economies: AI's transformation of industries and society
Intelligent Economies: AI's transformation of industries and societyThe Economist Media Businesses
 
Eiu collibra transforming data into action-the business outlook for data gove...
Eiu collibra transforming data into action-the business outlook for data gove...Eiu collibra transforming data into action-the business outlook for data gove...
Eiu collibra transforming data into action-the business outlook for data gove...The Economist Media Businesses
 
An entrepreneur’s perspective: Today’s world through the eyes of the young in...
An entrepreneur’s perspective: Today’s world through the eyes of the young in...An entrepreneur’s perspective: Today’s world through the eyes of the young in...
An entrepreneur’s perspective: Today’s world through the eyes of the young in...The Economist Media Businesses
 
EIU - Fostering exploration and excellence in 21st century schools
EIU - Fostering exploration and excellence in 21st century schoolsEIU - Fostering exploration and excellence in 21st century schools
EIU - Fostering exploration and excellence in 21st century schoolsThe Economist Media Businesses
 
Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...
Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...
Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...The Economist Media Businesses
 
M&A in a changing world: Opportunities amidst disruption
M&A in a changing world: Opportunities amidst disruptionM&A in a changing world: Opportunities amidst disruption
M&A in a changing world: Opportunities amidst disruptionThe Economist Media Businesses
 
Briefing paper: Third-Party Risks: The cyber dimension
Briefing paper: Third-Party Risks: The cyber dimensionBriefing paper: Third-Party Risks: The cyber dimension
Briefing paper: Third-Party Risks: The cyber dimensionThe Economist Media Businesses
 
In Asia-Pacific, low-yields and regulations drive new asset allocations
In Asia-Pacific, low-yields and regulations drive new asset allocationsIn Asia-Pacific, low-yields and regulations drive new asset allocations
In Asia-Pacific, low-yields and regulations drive new asset allocationsThe Economist Media Businesses
 
Asia-pacific Investors Seek Balance Between Risk and Responsibility
Asia-pacific Investors Seek Balance Between Risk and ResponsibilityAsia-pacific Investors Seek Balance Between Risk and Responsibility
Asia-pacific Investors Seek Balance Between Risk and ResponsibilityThe Economist Media Businesses
 
Risks Drive Noth American Investors to Equities, For Now
Risks Drive Noth American Investors to Equities, For NowRisks Drive Noth American Investors to Equities, For Now
Risks Drive Noth American Investors to Equities, For NowThe Economist Media Businesses
 
In North America, Risks Drive Reallocation to Equities
In North America, Risks Drive Reallocation to EquitiesIn North America, Risks Drive Reallocation to Equities
In North America, Risks Drive Reallocation to EquitiesThe Economist Media Businesses
 
Balancing Long-term Liabilities with Market Opportunities in EMEA
Balancing Long-term Liabilities with Market Opportunities in EMEABalancing Long-term Liabilities with Market Opportunities in EMEA
Balancing Long-term Liabilities with Market Opportunities in EMEAThe Economist Media Businesses
 

More from The Economist Media Businesses (20)

Food for thought: Eating better
Food for thought: Eating betterFood for thought: Eating better
Food for thought: Eating better
 
Digital platforms and services: A development opportunity for ASEAN
Digital platforms and services: A development opportunity for ASEANDigital platforms and services: A development opportunity for ASEAN
Digital platforms and services: A development opportunity for ASEAN
 
Sustainable and actionable: A study of asset-owner priorities for ESG investi...
Sustainable and actionable: A study of asset-owner priorities for ESG investi...Sustainable and actionable: A study of asset-owner priorities for ESG investi...
Sustainable and actionable: A study of asset-owner priorities for ESG investi...
 
Next-Generation Connectivity
Next-Generation ConnectivityNext-Generation Connectivity
Next-Generation Connectivity
 
Lung cancer in Latin America: Time to stop looking away
Lung cancer in Latin America: Time to stop looking awayLung cancer in Latin America: Time to stop looking away
Lung cancer in Latin America: Time to stop looking away
 
How boards can lead the cyber-resilient organisation
How boards can lead the cyber-resilient organisation How boards can lead the cyber-resilient organisation
How boards can lead the cyber-resilient organisation
 
Intelligent Economies: AI's transformation of industries and society
Intelligent Economies: AI's transformation of industries and societyIntelligent Economies: AI's transformation of industries and society
Intelligent Economies: AI's transformation of industries and society
 
Eiu collibra transforming data into action-the business outlook for data gove...
Eiu collibra transforming data into action-the business outlook for data gove...Eiu collibra transforming data into action-the business outlook for data gove...
Eiu collibra transforming data into action-the business outlook for data gove...
 
Communication barriers in the modern workplace
Communication barriers in the modern workplaceCommunication barriers in the modern workplace
Communication barriers in the modern workplace
 
An entrepreneur’s perspective: Today’s world through the eyes of the young in...
An entrepreneur’s perspective: Today’s world through the eyes of the young in...An entrepreneur’s perspective: Today’s world through the eyes of the young in...
An entrepreneur’s perspective: Today’s world through the eyes of the young in...
 
EIU - Fostering exploration and excellence in 21st century schools
EIU - Fostering exploration and excellence in 21st century schoolsEIU - Fostering exploration and excellence in 21st century schools
EIU - Fostering exploration and excellence in 21st century schools
 
Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...
Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...
Accountability in Marketing - Linking Tactics to Strategy, Customer Focus and...
 
M&A in a changing world: Opportunities amidst disruption
M&A in a changing world: Opportunities amidst disruptionM&A in a changing world: Opportunities amidst disruption
M&A in a changing world: Opportunities amidst disruption
 
Infographic: Third-Party Risks: The cyber dimension
Infographic: Third-Party Risks: The cyber dimensionInfographic: Third-Party Risks: The cyber dimension
Infographic: Third-Party Risks: The cyber dimension
 
Briefing paper: Third-Party Risks: The cyber dimension
Briefing paper: Third-Party Risks: The cyber dimensionBriefing paper: Third-Party Risks: The cyber dimension
Briefing paper: Third-Party Risks: The cyber dimension
 
In Asia-Pacific, low-yields and regulations drive new asset allocations
In Asia-Pacific, low-yields and regulations drive new asset allocationsIn Asia-Pacific, low-yields and regulations drive new asset allocations
In Asia-Pacific, low-yields and regulations drive new asset allocations
 
Asia-pacific Investors Seek Balance Between Risk and Responsibility
Asia-pacific Investors Seek Balance Between Risk and ResponsibilityAsia-pacific Investors Seek Balance Between Risk and Responsibility
Asia-pacific Investors Seek Balance Between Risk and Responsibility
 
Risks Drive Noth American Investors to Equities, For Now
Risks Drive Noth American Investors to Equities, For NowRisks Drive Noth American Investors to Equities, For Now
Risks Drive Noth American Investors to Equities, For Now
 
In North America, Risks Drive Reallocation to Equities
In North America, Risks Drive Reallocation to EquitiesIn North America, Risks Drive Reallocation to Equities
In North America, Risks Drive Reallocation to Equities
 
Balancing Long-term Liabilities with Market Opportunities in EMEA
Balancing Long-term Liabilities with Market Opportunities in EMEABalancing Long-term Liabilities with Market Opportunities in EMEA
Balancing Long-term Liabilities with Market Opportunities in EMEA
 

Recently uploaded

Work and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB fundingWork and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB fundingHenry Tapper
 
What Key Factors Should Risk Officers Consider When Using Generative AI
What Key Factors Should Risk Officers Consider When Using Generative AIWhat Key Factors Should Risk Officers Consider When Using Generative AI
What Key Factors Should Risk Officers Consider When Using Generative AI360factors
 
MARKET FAILURE SITUATION IN THE ECONOMY.
MARKET FAILURE SITUATION IN THE ECONOMY.MARKET FAILURE SITUATION IN THE ECONOMY.
MARKET FAILURE SITUATION IN THE ECONOMY.Arifa Saeed
 
Mphasis - Schwab Newsletter PDF - Sample 8707
Mphasis - Schwab Newsletter PDF - Sample 8707Mphasis - Schwab Newsletter PDF - Sample 8707
Mphasis - Schwab Newsletter PDF - Sample 8707harshan90
 
Taipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for TourismTaipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for TourismBrian Lin
 
Stock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdfStock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdfMichael Silva
 
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGeckoRWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGeckoCoinGecko
 
Lundin Gold March 2024 Corporate Presentation - PDAC v1.pdf
Lundin Gold March 2024 Corporate Presentation - PDAC v1.pdfLundin Gold March 2024 Corporate Presentation - PDAC v1.pdf
Lundin Gold March 2024 Corporate Presentation - PDAC v1.pdfAdnet Communications
 
India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023SkillCircle
 
Hungarys economy made by Robert Miklos
Hungarys economy   made by Robert MiklosHungarys economy   made by Robert Miklos
Hungarys economy made by Robert Miklosbeduinpower135
 
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTESACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTESKumarJayaraman3
 
Stock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdfStock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdfMichael Silva
 
Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...
Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...
Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...Matthews Bantsijang
 
The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?Stephen Perrenod
 
Introduction to Entrepreneurship and Characteristics of an Entrepreneur
Introduction to Entrepreneurship and Characteristics of an EntrepreneurIntroduction to Entrepreneurship and Characteristics of an Entrepreneur
Introduction to Entrepreneurship and Characteristics of an Entrepreneurabcisahunter
 
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.KumarJayaraman3
 
Stock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdfStock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdfMichael Silva
 
20240315 _E-Invoicing Digiteal. .pptx
20240315 _E-Invoicing Digiteal.    .pptx20240315 _E-Invoicing Digiteal.    .pptx
20240315 _E-Invoicing Digiteal. .pptxFinTech Belgium
 
LIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptxLIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptxsonamyadav7097
 

Recently uploaded (20)

Work and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB fundingWork and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB funding
 
What Key Factors Should Risk Officers Consider When Using Generative AI
What Key Factors Should Risk Officers Consider When Using Generative AIWhat Key Factors Should Risk Officers Consider When Using Generative AI
What Key Factors Should Risk Officers Consider When Using Generative AI
 
MARKET FAILURE SITUATION IN THE ECONOMY.
MARKET FAILURE SITUATION IN THE ECONOMY.MARKET FAILURE SITUATION IN THE ECONOMY.
MARKET FAILURE SITUATION IN THE ECONOMY.
 
Mphasis - Schwab Newsletter PDF - Sample 8707
Mphasis - Schwab Newsletter PDF - Sample 8707Mphasis - Schwab Newsletter PDF - Sample 8707
Mphasis - Schwab Newsletter PDF - Sample 8707
 
Taipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for TourismTaipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
 
Stock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdfStock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdf
 
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGeckoRWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
 
Commercial Bank Economic Capsule - March 2024
Commercial Bank Economic Capsule - March 2024Commercial Bank Economic Capsule - March 2024
Commercial Bank Economic Capsule - March 2024
 
Lundin Gold March 2024 Corporate Presentation - PDAC v1.pdf
Lundin Gold March 2024 Corporate Presentation - PDAC v1.pdfLundin Gold March 2024 Corporate Presentation - PDAC v1.pdf
Lundin Gold March 2024 Corporate Presentation - PDAC v1.pdf
 
India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023
 
Hungarys economy made by Robert Miklos
Hungarys economy   made by Robert MiklosHungarys economy   made by Robert Miklos
Hungarys economy made by Robert Miklos
 
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTESACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
 
Stock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdfStock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdf
 
Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...
Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...
Remembering my Totem _Unity is Strength_ growing in Bophuthatswana_Matthews B...
 
The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?
 
Introduction to Entrepreneurship and Characteristics of an Entrepreneur
Introduction to Entrepreneurship and Characteristics of an EntrepreneurIntroduction to Entrepreneurship and Characteristics of an Entrepreneur
Introduction to Entrepreneurship and Characteristics of an Entrepreneur
 
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
 
Stock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdfStock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdf
 
20240315 _E-Invoicing Digiteal. .pptx
20240315 _E-Invoicing Digiteal.    .pptx20240315 _E-Invoicing Digiteal.    .pptx
20240315 _E-Invoicing Digiteal. .pptx
 
LIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptxLIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptx
 

Generation ¥ - RMB: the new global currency infographic

  • 1. 20th position An Economist Intelligence Unit report, commissioned by Allen & Overy An Economist Intelligence Unit survey, commissioned by Allen & Overy China’s currency, the renminbi (RMB) has become international with amazing speed. How are global businesses managing its rise? 102% 0 20 40 60 80 100 120 RMB All currencies 4.4% 2014 global payments value growthRMB’s position in total value of currencies used for global payments (according to SWIFT) 20th position 2011 2013 5th position 2015 JANUARY The dramatic rise in international usage of RMB is the result of steps taken by China to open up its financial markets. Non-Chinese companies’ use of the currency is expanding and changing dramatically Importance of RMB to international business 15% 75% RMB is important to their business RMB is very important to their business Multinationals are using RMB for much more than just payments Top 5corporate usages of RMB offshore other than trade settlement. In the past year (% respondents): 47% 51% 50% 49% 48% To pay staff/payroll Intercompany cross-border lending Channel RMB offshore and convert to other currencies Channel RMB offshore without converting to other currencies To finance acquisitions Why paying in RMB is paying off Top 5reasons for using RMB in cross-border transactions: To lower transaction costs To lower funding costs/cost of capital To access new business opportunities To broaden access to onshore buyers and suppliers For timelier settlement ¥ 0 20 40 60 80 100 Devolved m ore pow erto decision-m akers in m ainland Relocated regionaltreasury operations to China Allow ed greaterpricing pow er overproducts in China Expanded expansion strategyto ‘second tier’cities in China M ore flexibilityin setting salaries and benefits in China G reaterexpansion overseas from operations based in China Restructuring ofregional supplier/vendornetw ork Restructuring ofglobal supplier/vendornetw ork M ore investm entdevoted to m ainland expansion plans (because oflow erfunding costs) Strategic shifts How internationalisation of the RMB has affected company strategy Already done Not done yet but possible with further liberalisation of RMB To download the full report visit http://www.allenovery.com/news/en-gb/articles/Pages/Multinationals-are-ill-equipped-to-handle-rapid-rise-in-RMB.aspx The report is based on a survey of 150 senior executives conducted in January-February 2015, including 50 from each of the US, Europe and the Asia-Pacific region. All the companies in the survey have some exposure to the remninbi, but companies headquartered in greater China were excluded to ensure the results reflected how the liberalization of the currency is affecting corporate strategy globally. Data are % respondents to survey unless noted. Percentage of respondents paying/receiving in RMB for settlement of cross-border trade in: IndiaRussia Mainland China Australia/ New Zealand Africa UK The Euro Zone Japan North America Middle East Other ASEAN Countries Hong Kong SingaporeTaiwanSouth Korea 88%79%75%61% 59% 58%57%54%48% 48% 46%40%37%36%34% Frankfurt Most attractive locations outside Hong Kong for managing RMB liquidity over next 5 years 0 10 20 30 40 50 60 70 80 Shanghai FTZ Singapore Luxembourg London Frankfurt Where will win? 78% Shanghai FTZ 33% London 52% Luxembourg 14% 77% Singapore 0 10 20 30 40 50 60 70 80 Hurdles to clear The rapidly increasing volume of RMB-denominated transactions presents challenges for many companies % respondents rating issue “very important” or “important” 0 10 20 30 40 50 60 70 80 2 3 41 2 3 4 1 Lack of common technical standards Uncertainty over exposure to regulatory risk Political risk; i.e., China policy reversal Delays in rollout of CIPS 57% 31% 28% 74% % respondents rating issue “very important” or “important” 2 3 41 Poor understanding within company about RMB transactions Need for changes to intra-company invoicing model Need for company to devise new hedging strategy Poor onshore-offshore bank IT connectivity 44% 40% 38% 77% 2 3 4 1Company-specific obstacles Regulatory obstacles RMB: the new global currency Generation ¥