Korea's central bank will launch a formal renminbi discount window tomorrow (July 1), in a decisive step towards cementing the currency's status as a settlement currency in China's fourth-largest trading partner.
The new liquidity facility, which will be underpinned by the Bank of Korea's (BoK) swap line with the People's Bank of China (PBoC), will serve to ease "tightness in the domestic RMB market" in times of stress, the central bank said on June 29.
The BoK and the PBoC have a swap arrangeme
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