Wednesday, January 12, 2011

China Brings Renminbi Banking to the United States

China has announced that residents of New York and Los Angeles will be able to open deposit and business accounts in renminbi (China’s currency).  Individuals will be able to purchase CDs of six months or one-year duration, or make cash deposits of up to $4,000 a day and $20,000 a year at Bank of China branches in the U.S., which will be covered by FDIC guarantees.

Some critics say that this new policy is a trivial change, and fails to liberalize the exchange rate of the renminbi to permit greater appreciation to the satisfaction of the U.S. government.  But this perspective misses the point.

The amount of renminbi deposits that can accumulate over the course of the next year, if every resident of New York and Los Angeles makes the maximum deposit, is on the order of $200 billion, one year's worth of new foreign exchange reserves.  But that is exactly the point.  China will establish renminbi banking in the U.S. in a completely non-threatening manner.  Other banks and cities will push for similar privileges, which China will grant (although claiming it does so reluctantly).  As the renminbi slowly appreciates against the dollar, ordinary American households will become comfortable holding part of their cash and CDs in renminbi.  Business firms will remit money to and from China in renminbi.

In five years, Americans will routinely transact business in renminbi and use the currency for travel as more and more countries use renminbi.

9 comments :

ChjpHunter said...

Historian Milton W. Landis uses "Larrys Creek Covered Bridge" since it crosses Larrys Creek, and notes this was the name used by other local historians.[8][11] Larrys Creek is named for Larry Burt, who was the first settler at the mouth of the creek when the surveyors came through in 1769.[9] Landis acknowledges the "Cogan House" name, and says the bridge has also been known by the names of "several tenants who lived in the little farm adjacent" to it.[8][11]
While Landis does not give these different names, two other names for the bridge are known and may come from some of these tenants. The first of these is "Day's Bridge" and it is clear this is another name for the Cogan House Covered Bridge.[12][13][14] The second of these, "Plankenhorn Bridge", is a name in a list of existing and vanished covered bridges in Lycoming County. Although the association of this name with the Cogan House Covered Bridge is not made explicitly, it is described as still standing on Larrys Creek and being north of a bridge in Mifflin Township. This is the only known covered bridge that meets those criteria




cheap wedding cake topperscoach hire Manchester

mylove said...

While the USGS uses "Seeley Run", it is still "Seely Run Road" that follows the stream. The First Fork, Canoe Run, Joes Run, and Wolf Run also have roads named for them.
Professional Recruitment For CandidatesBottle Openers

quan said...

natural meonpause treatmentKanye West mixtapesHarry Potter The Chamber of Secrets Printable Triv...
David Yates’ Harry Potter and the Half-Blood Princ...
Dumbledore in Harry Potter and the Half Blood Prin...
“Harry Potter and the Half-Blood Prince” Movie Rev...
Harry Potter The Chamber of Secrets Printable Triv...
Helpful Hints on Creating your Harry Potter Costum...
Magic behind Magic Revealed – HP Movie Unit Photos...

Tài Nguyễn Đức said...

It is England's sixth and the United Kingdom's eighth most populous city, one of the group of English Core Cities and the most populous city in South West England


κατασκευή ιστοσελίδωνVPN Services

mylove said...

The first pink version was released in October 2005, and as of June 2006, was available in the USA from T-Mobile (as RAZR V3 Magenta, after the T-Mobile—and its parent, Deutsche Telekom's—corporate color, but called RAZR V3 Pink in other countries, including other T-Mobile networks), Verizon, Cingular Wireless, Suncom Wireless, Cellular One from Dobson Cellular Systems (each in a different shade).
mobile phone infocell phone info

Tài Nguyễn Đức said...

The 2006 Gator Bowl was a college football bowl game between the Louisville Cardinals and the Virginia Tech Hokies in Jacksonville, Florida on January 2, 2006.

Main Line Plastic Surgeryquid co

Auto Warranty said...

Can you magine being one of the 1st settlers like Larry Burt. Besides getting a creek named after you.lol. But really, these old time surveyors are some of the bravest men that ever lived.
Extended Warranty for Used CarsExtended Warranty

Tom said...

I would you like to visit my websites
And give me a comment
orthodontist san diegoизделия из пластика

Tài Nguyễn Đức said...

Vice Admiral Shigeyoshi Inoue—commander of the Japanese 4th Fleet (also called the "South Seas Force") consisting of most of the naval units in the South Pacific area—advocated the seizing of Lae, Salamaua, and Port Moresby in New Guinea and Tulagi in the Solomon Islands


alkaline water benefitsAffordable AV Equipment and Office Furniture from HON, Lorell, Safco and Alera