China Pilots Yuan Settlement of Overseas Direct Investments

China announced on Thursday that the nation's qualified enterprises and banks could settle their overseas direct investment in yuan, a move that could expand the currency's global reach.

The People's Bank of China (PBOC), or the central bank, said on its website that, banks and enterprises which are allowed to settle the cross-border trade in yuan are permitted to conduct direct investments overseas using yuan.

(Xinhua News Agency January 13, 2011)