The President of Federation of Chambers of Comerce and Industry (FPCCI) Engr. Daroo Khan Achakzai has underscored the need to use Ren Min Bi RMB as trading currency between Pakistan and China
Islamabad (Pakistan Point News / Online - 21st December, 2019) The President of Federation of Chambers of Comerce and Industry (FPCCI) Engr. Daroo Khan Achakzai has underscored the need to use Ren Min Bi RMB as trading currency between Pakistan and China.He was talking to a Chinese delegation that visited FPCCI on Saturday.He said that Currency Swap would be mutually beneficial and go a long way in strengthening economic ties between the two neighboring countries.
"China is a trillion Dollar economy, trillion dollar exports and imports, surplus in current account, high and growing per capita income with low level of inflation, unemployment and certainly lower interest rate'',he added.He highlighted that average trade volume between Pakistan and China is about US$ 20 billion annually in which imports from China is US$ 18 billion and export from Pakistan to China is merely US$ 2 billion. There is a huge export surplus of US$ 16 billion in the favor of China.
"That is why, Pakistan and China signed bilateral Currency Swap Arrangement to reduce the pressure on the foreign exchange reserves and give a quantum jump to the bilateral trade between the two countries", he said.The FPCC President also appreciated the services rendered by CBC in the backdrop of capital intensive mega investment projects of CPEC and China Pakistan Free trade Agreement (CPFTA) in implementing and facilitating bilateral trade in RMB. Thus reducing the ever increasing pressure on SBP foreign exchange reserves.
