Frankfurt to become yuan trading centre

Frankfurt/Beijing - China is moving to boost the international strength of its currency by announcing on Monday plans to turn Frankfurt into the eurozone centre for trading in the yuan.

Transactions in yuan in a newly established clearing house operated by the Bank of China will begin on November 17, the director of the Frankfurt branch of the bank Bernd Most told dpa in Beijing.

"We now have direct access to China," Most said.

Tarek Al-Wazir, who is the Economics Minister for Hesse - the state where Frankfurt is located - said trading in the yuan would represent a boost to the local economy as well as opening up new investment chances for small to medium-sized businesses.