Emerging Markets Rates and Currencies Handbook

For FCY / CNY FX Spot FX Forwards NDFs FX Options Interest Rate Swap Interest Rate Options XCCY swaps Market Overview Onshore Market   ✗     Offshore Market ✗ ✗ ✗ ✗ ✗ ✗ ✗ Onshore Volume (MM USD Daily) Offshore Volume (MM USD Daily) Onshore Max Tenor (Or Typical Tenor For Spot) Offshore Max Tenor (Or Typical Tenor For Spot) Onshore Typical Deal Size (MM USD) Offshore Typical Deal Size (MM USD) Onshore CitiFX Pulse Capabilities 40,000 - 45,000 n/a T+2 n/a 10-50 n/a  65,000- 75,000 including FX Swap n/a 5 years n/a 8-10 n/a  N/A n/a N/A n/a N/A n/a ✗ 4,000 - 5,000 n/a 2 years n/a 10-50 n/a ✗ 10,000 – 12,000 n/a 5 years n/a 20-50 n/a ✗ Poor liquidity in interbank market n/a T+20 n/a 2 n/a ✗ 100 n/a 5 years n/a 10 - 50 n/a ✗ Offshore CitiFX Pulse Capabilities ✗ ✗ ✗ ✗ ✗ ✗ ✗ FCY - foreign currency. Net Settlement for derivatives is allowed. Source: Citi indicative information Market opening hours and liquidity during the day Fixing CNY: Reuters SAEC published 09.15 Beijing time posted 2 days before value date. Bloomberg Code: CNYMUSD Index. Regulation Onshore RMB (CNY) is partially convertible and subject to currency control restrictions. Offshore RMB (CNH) is fully convertible and not subject to the same restrictions faced by onshore RMB. Non-Resident Restrictions: Under certain conditions, Non-Resident accounts are allowed to engage in conversions between USD and CNY. For Shanghai Free Trade Zone accounts, both directions in conversions between USD and CNH are allowed. For FX conversion itself, supporting documents are not required while once there is remittance needs, the indication of payment purpose and other relevant supporting documents might be required to procced the payment. License Requirements No specific license requirements for dealing in FX products except for clients with financial license i.e. banks, trust company including NBFI such as auto financing company. Requirements to open a foreign currency account Resident and Non-Resident entities are allowed to book FX transactions with onshore authorized banks.