China announced Friday it will launch direct trading of its currency yuan with seven more currencies on its inter-bank foreign exchange market next Monday.

The seven currencies are Swedish krona, Hungarian forint, Danish krone, Polish zloty, Mexican peso, Turkish lira and Norwegian krone, according to the China Foreign Exchange Trade System (CFETS).

The move will bring the number of foreign currencies that are allowed direct trading with the yuan to 23.

The CFETS currently announces every business day the central parity rates of the yuan against major currencies including the U.S. dollar, euro and Japanese yen.

The direct trading will help lower exchange costs and facilitate bilateral trade and investment, the CFETS said.

To promote the global use of the yuan and open up financial markets, China has stepped up the signing of direct trading agreements with new currencies. Enditem

Source: Xinhua