A BNP Paribas analyst speaking at a CNBC event, says globalization of the yuan "will be driven by two things:

  • One is the incoming funds into the country
  • and then the Chinese government and also the [People's Bank of China] need to relax to allow the renminbi to go outside

China had previously eased trading restrictions around the yuan between 2010 and 2015

and now with funds flowing into China, the PBOC

  • “will have the flexibility to allow the renminbi to go outside”
  • “Because if you really want to create a renminbi internationalization campaign, one of the biggest thing is the liquidity that is going to be existing in those places”

Here is a link for more.

The eurodollar market has been huge for decades, I wonder if a market for euroyuan can grow quickly?