MNI BRIEF: PBOC Unveils Moves To Liberalise Overseas Financing

People’s Bank of China Governor Pan Gongsheng on Wednesday announced new measures to liberalise cross-border trade and investment, expand overseas financing, and further refine the central bank’s policy framework. 

Speaking at the 2025 Lujiazui Forum, Pan said the PBOC will promote the issuance of offshore bonds in pilot free trade zones to support high-quality firms investing abroad, particularly in Belt and Road countries. It will also upgrade Free Trade Accounts (FTAs) to better support cross-border trade and investment, he continued.

The Bank will back Shanghai’s development of offshore trade and pilot structural policy tool innovations. These include using rediscounting to help Shanghai-based banks provide yuan-denominated trade financing, and expanding the scope of carbon emission reduction facilities. (See MNI: Beijing Pushes Yuan's Global Role As U.S Dollar Falters)

Authorities will also estabilish a Digital Yuan International Operating Center to support the e-CNY’s global use and digital financial innovation, Pan said. To aid exchange rate risk management, the PBOC also plans to promote yuan foreign exchange futures trading for financial institutions and foreign trade firms.

Pan added that the central bank will continue refining its policy framework by optimising intermediate targets, cultivating benchmark policy rates, improving transmission mechanisms, expanding the toolkit, and enhancing policy communication and guidance.