MNI China Press Digest June 19: Logistics, Premier Li, Yuan

Highlights from Chinese press reports on Thursday:

• China's logistics prosperity index reached 50.6 in May, down 0.5 points from April but remained above the expansionary mark of 50, data from the China Federation of Logistics and Purchasing showed. Hu Han, deputy chief economist at the China Logistics Information Center, said the eastern region’s total business sub index rose 0.1 pp but remained lower than the national average given the continued external impact on logistics businesses. The logistics order volume for home appliances and communication products increased by 10-15% year-on-year, Hu said, adding that the aviation transportation industry’s total business index reached 52.5, a month-on-month decline of 2.8 points.
• The government must focus on expanding effective demand and promote a sustained improvement in the economic operation, Premier Li Qiang told officials during a tour of Jiangsu province. China welcomes companies from all countries to invest and start businesses and will increase policy support and service guarantees for foreign firms. Officials must boost the role of the China-Europe trains and cross-border e-commerce, and promote the high-quality construction of the Belt and Road, Li added.
• The People’s Bank of China’s latest move to establish a Digital Yuan International Operating Center marks a shift toward internationalising the digital yuan, in contrast to earlier efforts focused on replacing cash domestically, International Finance News reported, citing Pan Helin, an advisor to the Ministry of Industry and Information Technology. The announcement facilitates overseas transactions through combining blockchain-based Letter of Credit refinancing with the digital yuan to achieve real-time clearing of cross-border payments, said Tian Xuan, associate dean at PBC School of Finance, Tsinghua University.