Germany talks up RMB future

Germany is comfortably China’s largest trading partner in Europe, accounting for about a third of all EU-Chinese trade and for a large share of European FDI into China. That would seem to make Frankfurt a natural hub for renminbi (RMB) trading and settlement in Europe. Indeed, when Prime Minister Li Keqiang chose Germany as the destination for his first overseas trip as China’s Premier, in May 2013, he spoke of the economic “dream team” that the two countries could create if they intensified their co-operation. Can this also be applied to financial services, and if so, will it underpin the further expansion of Frankfurt as a financial centre? This was the focus of EuroWeek’s December roundtable in Frankfurt.