The Singapore Dollar and the Chinese Yuan (also known as the RMB) began direct trading on October 28, 2014. Previously, companies that wanted to convert between these two currencies had to do so via an intermediate currency such as the US dollar.
The Singapore dollar will become the ninth foreign currency to be directly traded in the onshore foreign exchange market, following the US dollar, the Euro, British Sterling, Japanese Yen, Australian Dollar, New Zealand Dollar, Malaysian Ringgit and Russian Rouble.
This exchange will make it easier for companies in Singapore to do business with their Chinese counterparts. According to Industry Survey, the commencement of direct RMB-Sing Dollar trading had been closely watched and anticipated.
Industry players can look forward to boosting the appeal of offshore RMB, in the region, as well as strengthening Singapore’s position as a leading offshore RMB hub.
For more information about the Singapore Dollar, please visit: http://en.wikipedia.org/wiki/Singapore_dollar