'The trade war would have a temporary depreciation pressure on renminbi, but you see, after the noise, renminbi will continue to be very stable and relatively strong compared to emerging market currencies, even compared to convertible currencies
,' Yi said, using the yuan's official name.
The new regulation issued by the policy department at the CBoS Sunday allows all banks to carry out business transactions in all convertible currencies
including the U.S.
Forex bureaux operators say there has been increasing demand for dollars and other convertible currencies
as elections come nearer.
One example could be the Basel III Liquidity Coverage Ratio regulation, which requires the High Quality Liquid Assets held by banks to be in convertible currencies
. Whether or not the RMB qualifies is up to regulators, but the IMF's decision could play a part.
Indian exporters mainly trade in freely convertible currencies
, including the US dollar and euro.
According to data from the International Monetary Fund and Bank of America/Merrill Lynch, reserves held in easily convertible currencies
are more than $5 billion in the red if measured against the central bank's forward obligations.
If the Hong Kong dollar were to be pegged to a basket of currencies and retain its hard currency status with high liquidity, it could only be pegged against fully convertible currencies
. The potential candidates for inclusion in the basket would be the U.S.
Iran claims to have been signing almost one contract per week since the autumn of 2011 -- even as US-led sanctions have crippled its ability to tap international finance, and, in recent weeks, to even carry out transactions in US dollars and some other convertible currencies
Kathmandu, June 12 (Xinhua-ANI): Nepali government is preparing to bring out the policy to provide at least 2 percent incentive of the total value added exports in convertible currencies
in an effort to encourage export.
That brings them on a level playing field with exports sold in freely convertible currencies
, such as the dollar.
Countries with convertible currencies
under their capital account let their currencies trade with few restrictions for investment purposes.