Standard Chartereds Renminbi Globalisation Index rose 2.8% from November to December, partly due to a rebound in CNH deposits in Hong Kong. The index looks at deposits, Dim Sum bonds and certificates of deposit, trade settlement and other international payments and foreign exchange to measure growth in the Chinese currency.
Across 2012, the index rose 50% despite waning global demand for the currency. Citing its own statistics, SWIFT, for instance, recently predicted a major decline in renminbi payments in the United States.
Standard Chartered says it anticipates a rise of at least 50% further on its renminbi index in 2013, pointing to recovering confidence in Chinas economy, CNY appreciation and growing invoicing in Renminbi.
Most offshore use of renminbi takes place in Hong Kong, Singapore and London. The bank attributes its positive outlook for the currency to strong usage for FX and trade.
(CG)