China and Maldives to Boost Trade with Local Currency Agreements

China's central bank and the Maldives’s ministry of economic development and trade have signed a memorandum of understanding to enhance local currency settlements, currency account transactions, and direct investments, aimed at promoting trade and investment between the two nations.

China's central bank announced on Friday the signing of a memorandum of understanding with the Maldives's ministry of economic development and trade. The agreement aims to establish a framework for promoting local currency settlement, currency account transactions, and direct investments.

The People's Bank of China stated that this strategic move would facilitate enhanced trade and investment between the two countries, marking a significant step in their bilateral relations.

The agreement is expected to streamline financial transactions, making it easier for businesses in both nations to engage in economic activities without the need for intermediary currencies.

(With inputs from agencies.)