Chile Is Latest Country To Launch Renminbi Swaps And Settlement
Submitted by Tyler Durden
The dollar exclusion list is becoming bigger and bigger with every passing day as China gets ready.
For simplicity's sake here is the full list of "bilateral" arranagements in the past year as presented previously: "World's Second (China) And Third Largest (Japan) Economies To Bypass Dollar, Engage In Direct Currency Trade", "China, Russia Drop Dollar In Bilateral Trade", "China And Iran To Bypass Dollar, Plan Oil Barter System", "India and Japan sign new $15bn currency swap agreement", "Iran, Russia Replace Dollar With Rial, Ruble in Trade, Fars Says", "India Joins Asian Dollar Exclusion Zone, Will Transact With Iran In Rupees", "The USD Trap Is Closing: Dollar Exclusion Zone Crosses The Pacific As Brazil Signs China Currency Swap."
And now the latest: "China, Chile To Establish Strategic Partnership, Boost Trade... Launch Currency Swap and Settle In Renminbi"
China and Chile agreed Tuesday to upgrade their bilateral ties to a strategic partnership, and double trade in three years.
Chinese Premier Wen Jiabao and Chilean President Sebastian Pinera announced Tuesday the establishment of China-Chile strategic partnership and the completion of negotiations on investment-related supplementary deals to a bilateral free trade agreement.
China would like to be actively engaged in Chile's infrastructure construction and work with Chile to promote the development of transportation networks in Latin America, said Wen.
Meanwhile, Wen suggested that the two sides launch currency swaps and expand settlement in China's renminbi.
Read more here.
So to summarize, the list of countries that China is transacting with directly (that we know of), and bypassing the USD entirely, is as follows:
- Japan
- Russia
- Iran
- India
- Brazil
- and now, Chile
In other words, it looks like the BRICs already have their "bilateral" arranagements all sorted out, and are now quietly moving into other suppliers of key resources with swap deals, all without any mention of the word "dollar."
How soon until China re-dips its toe in Europe with a modest "bailout" nobody can refuse in exchange for a simple caveat: you get paid in renminbi?
http://www.zerohedge.com/news/chile-latest-country-launch-renminbi-swaps-and-settlement