Hong Kong to see surge in yuan loans to Qianhai

Cross-border yuan loans to firms in the Qianhai special economic zone may exceed the volume of yuan loans in Hong Kong in two to three years, a senior banker at Citibank said.

Anson Kwok, the managing director and head of commercial bank at Citi, said firms in Qianhai might take out yuan loans in Hong Kong to pay off old loans on the mainland, where interest rates are higher.

Kwok said that could be one of the main drivers of the growth of Hong Kong banks' yuan loan business in Qianhai.

via Business feed http://www.scmp.com/business/china-business/article/1221051/hong-kong-see-surge-yuan-loans-qianhai