Earlier this year we discussed how Canada was aiming to host the first Chinese currency hub in the Americas.
Well now it's official, with Canada's financial capital, Toronto, the chosen winner.
With so much international business still transacted in U.S. dollars, China's central bank, like most others, holds dollars in reserve, or buys them as needed.
Doing business this way is cumbersome and expensive since currencies first need to be converted into dollars for the buyer's payment, and then back out of dollars if the seller wants to return it to his home currency.
Increasingly, countries are seeking alternatives when trading with the world's number two economy... and China's only too happy to help.The only questions left to ponder after this and other related developments, are who will benefit, and who will lose...