South Korea Agrees Won-Yuan Trading Link, RQFII Quota With China
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South Korea and China will introduce direct trading between the won and the yuan in Seoul and promote greater use of the Chinese currency under agreements reached today during talks between the two nations’ leaders.
South Korea also won an 80 billion yuan ($12.9 billion) quota for domestic investors to buy securities in China under the Renminbi Qualified Foreign Institutional Investor program, according to a statement issued by the Bank of Korea and the finance ministry. Sales of yuan-denominated debt in Seoul will be encouraged and a memorandum of understanding was also signed to appoint a yuan clearing bank in the city.