WNA Globe

World News by Wild Rose

#collateral ร—

Appetite for yuan assets sees London Clearing House accept dim sum bonds as collateral

The London Clearing House (LCH) has begun accepting offshore yuan-denominated Chinese government bonds as eligible non-cash collateral, marking a structural milestone in Beijingโ€™s decade-long push to internationalise its currency and integrate its debt into global financial pipelines. The decision by LCH โ€“ a major derivatives clearing house owned by the London Stock Exchange Group โ€“ allows investors to use offshore yuan sovereign bonds, or dim sum bonds, to meet margin requirements. The move...