(MENAFN- Qatar News Agency) Japan and China are set to agree on starting direct trading of their currencies among their banks.
The two countries have been working on the plan since last December when their leaders reached agreement in an effort to stimulate bilateral trade.
The countries are expected to soon agree on direct trading of the Japanese yen and Chinese yuan on the Tokyo foreign exchange market, the (NHK World) website reported.
Direct trading will allow banks to exchange the currencies without using US dollars.
The move is expected to assist bilateral trade as companies will be able to procure yuan at lower cost.
Britain and Singapore are seeking similar currency arrangements, possibly accelerating internationalization of the Chinese currency.
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