China's exchange control authorities say they are closely monitoring the slide in the Russian rouble. The recent collapse of the currency has played no significant impact on China's cross border capital flow.
"The cause of the sharp fall of the rouble is complicated. China, as a large open economy, has been closely following the situation, Generally speaking, the acute fluctuations of the rouble has had no significant impact on China's cross border capital flow," says Wang Yungui, head of General Affairs of State Administration of Foreign Exchange.
"We hope Chinese enterprises and financial institutions will use financial tools such as swap facilities to avoid risk and to maintain healthy trade between the two countries," he says.
Stocks of Chinese automakers slump because of weaker rouble
China and Russia are close trade partners. In the first three quarters of this year, that trade was valued at more than 70 billion US dollars. China's exports to Russia increased over ten percent year on year and imports were up almost three percent. But the slide of the rouble has affected Chinese automakers. Stocks in Geely suffered their biggest decline in Hong Kong on Wednesday since 2002, falling almost 17 percent, after the company said it expects full-year net income from the Russian market to fall about 50 percent. And on Thursday, stock in another Chinese automaker, BYD, fell over 26 percent in Hong Kong.
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