The 2024 SWIFT International Banking Operations Conference, also known as Sibos 2024, officially kicked off in Beijing on October 21. In a keynote address, Joseph Liu, Co-CEO for HSBC’s Asia Pacific region, noted that the global usage of the renminbi is still not commensurate with China’s current economic scale, indicating significant potential for growth in its adoption both in Hong Kong and worldwide.
Liu pointed out that in recent years, China’s economic growth has led to numerous initiatives aimed at accelerating the internationalization of the renminbi. This includes a continuous rise in renminbi-denominated payments and trade finance, steady progress in digital renminbi pilot programs, and the ongoing optimization and expansion of various connectivities between the mainland and Hong Kong.
When discussing the development of the global payment system, Liu emphasized that the demand for a currency is closely tied to the underlying economic fundamentals of the associated economies. He observed that within Asia, sustained growth in income and consumption is reflected in trade and investment activities, thereby boosting demand for relevant currencies.
In light of these developments, Liu argued for the necessity of close collaboration among global markets through major payment and clearing institutions. He advocated for the creation of a more stable and compatible payment system achieved through low-risk and low-cost approaches.
