Everything happens for the first time. The managing board of VTB Bank reported on the first transaction in yuan. That is not a missile launch or winning the FIFA World Cup, but it is honorable too. The most complicated procedure was successful, so now VTB is the only bank in Russia that has such experience. The bank’s branch in Shanghai was the one that performed yuan-denominated cross-border transaction.
The first client was rather generous spending 20 million yuan. Now the Russian customers of VTB are able to carry out such transactions too. In the meantime, customers in China can settle up with their counterparties from Russia using renminbi. Such a novelty is supposed to facilitate the current financial relationships between the two countries given the constantly rising turnover, especially on the threshold of shift of focus from the West to the East.
It should be noted that VTB branch in Shanghai had been practicing making transactions in international currencies, including rubles. According to the official statistics, the RUB/RMB pair accounts for the most financial operations in China and Russia. In 2013, the total amount of transactions came in at 19.4 billion rubles.
In late May, the Russian and Chinese governments announced their intention to boost marginally the volume of direct payments in rubles and renminbi. Besides, the two countries are ready to encourage the growth of mutual investments. The parties are intended to pay in transport infrastructure, mineral deposits development, and economy-class housing in the Russian Federation.