Business / Economy

China's currency to essentially become world's great currency

(Xinhua) Updated: 2015-10-19 16:11

From strength to strength

In the interview, the group chairman conveys his expectation on Chinese President Xi Jinping's visit in Britain from Monday to Friday.

Flint said:"I think the relationship between China and UK has been going from strength to strength. The evident warmth and degree of cooperation between both countries in terms of shared vision of opportunities available is quite impressive, and both sides and both countries are talking about the golden year, which is certainly a situation that we would welcome and indeed can see it being formed."

"I think the president's visit is very important. I think it would be an enormous symbol of the good relationship of the two countries, and it would be a good opportunity for both sides to talk about how they can support each other in the areas of mutual opportunities and advantages. And it would be also an opportunity to open areas of discussions that would expand trade and investment flows between both countries," he said.

He highlighted several areas that HSBC is keenly watching on President Xi's visit, saying "the going internationalization of the renminbi is of huge importance to the world, to London and to financial institutions."

"The aspiration of connection between London Stock Exchange and Shanghai Stock Exchange is the evidence of willingness to explore what the future of stock trading can be globally. And a number of Chinese companies come from Chinese mainland investing overseas again is an area where the global financial system, the banking system like HSBC are very capable of helping that expansion and wanting part of China's going up policy," said Flint.

The 60-year-old banker said he felt excited about China's Silk Road Economic Belt and the 21st Century Maritime Silk Road, through which China is projecting investment and capital flow outward.

"British financial institutions and corporate to be involved in the Belt and Road build-up is an issue of exciting, not just for both countries, but for the world," he noted.

World growth driver

Flint, who has been group chairman at HSBC since December 2010, also tunes positively on China's economic growth and pivotal reform schemes.

"Our view on Chinese economy is it remains one of the most important countries in the world, because of its contribution to incremental growth and it is the largest going forward. Our own projection is still having China growing at around 7 percent for the next two years. And even (though) that growth is a bit below, it is still one of those significant incremental amounts of growth the world will enjoy."

According to its latest quarter macroeconomic forecast, HSBC Global Research estimates a 7.1 percent GDP growth for China in 2015, and 7.2 percent in the year next, both are higher than the market consensus.

Hot Topics

Editor's Picks