Swiss put in bid for yuan clearing

Swiss bankers made their strongest pitch yet to their Chinese peers over the weekend for their country to become a hub for offshore yuan trading.

They proposed a currency swap line and a clearing facility, which will help Switzerland compete with London and Frankfurt, Germany, in the race to be Europe's hot spot for yuan-related transactions.

"Swiss banks are greatly in favor of a currency agreement (swap line) between the Swiss National Bank and the People's Bank of China, and thus for clearings through a Chinese bank based in Switzerland," the Swiss Bankers Association said in a statement on Saturday after the first Chinese-Swiss Financial Round Table was held in Switzerland with the visiting China Banking Association. That will "lower transaction costs and highlight Switzerland's position as a European hub for Chinese and renminbi business," it added.