EU officials to push yuan appreciation in Beijing visits

Top European economic and finance officials are planning to visit Beijing to persuade Chinese policymakers to allow the yuan to strengthen. According to a report from Reuters Business via SCMP, the goal of this effort is to help reduce a surging trade gap. Maarten Verwey, the European Commission’s director general for economic and financial affairs, is expected to lead the delegation to the Chinese capital.

Separately, SCMP Business reports that Hong Kong Chief Executive John Lee Ka-chiu has identified the promotion of the yuan's use outside mainland China as a key priority in the city's first five-year plan. Efforts to increase the currency's international appeal include testing the interoperability of the e-CNY and other digital assets.

During a US Senate hearing in February, Treasury Secretary Scott Bessent addressed concerns regarding China's potential to challenge American financial leadership through technologies like blockchain and digital assets. Bessent noted that Hong Kong serves as a large "sandbox" for these developments. Chinese authorities are utilizing various digital tools for outbound use, including the e-CNY, a cross-border digital yuan transfer service, and Project mBridge.

Brief written by urgent.news from Reuters Business via SCMP, SCMP Business — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.