NAIROBI, Aug. 25 (Xinhua) — Kenya-based regional financial services institution NCBA Group has said that rising Sino-Africa trade is driving the uptake of yuan accounts.
John Gachora, managing director of NCBA Group, told Xinhua in Nairobi, the capital of Kenya, that its clients can open yuan-denominated accounts because it banks with correspondent banks in China.
“The availability of Chinese currency makes it more convenient and affordable for trade between China and Africa,” Gachora said on the sidelines of the release Thursday of the group’s financial results for the first six months of 2023.
NCBA Group operates in Kenya and four other African countries — Uganda, Tanzania, Rwanda, and Cote d’Ivoire.
According to Kenya National Bureau of Statistics, China has become the country’s largest trading partner, foreign investor, and project contractor.
Gachora said the use of the yuan for Sino-Africa trade reduces dependence on the U.S. dollar to settle international trade.
He said trading in the Chinese currency has also emerged as a huge business opportunity due to the presence of a large Chinese community in the region.
Source: English News