China facilitates the import of gold with the high prices and restoring the yuan

The Chinese Central Bank plans to reduce restrictions on gold imports, which is a small step in the direction of the largest gold market in the world. The Chinese People’s Bank has issued a draft base to accelerate the import of gold, by expanding the use of ‘multiple use permits’, increasing the validity from six months to nine months and canceling restrictions on the number of times it can be used. A larger number of Chinese ports will be granted to get rid of gold shipping. The high value of the yuan against the dollar would make the time ready to buy gold. Consumer profits in China and on a larger scale, the facilitation of trade exchanges is a welcome development among local consumers, in light of the unprecedented global demand for gold that drives prices to record levels. The Chinese demand is an important engine for the high price of gold, but buyers often have to pay in addition to international prices due to government restrictions on imports. Also read: The Chinese Central continues to buy gold for the tenth month in a row, Samson Lee, an analyst at the Commodity Discovery Fund, based in Hong Kong: Trek gold control The central bank uses strict control of gold imports, which is needed to manage its currency, so that the new regulations are the purpose of increasing flexibility, rather than open. The proposals also apply to exports, although the approvals are actually more limited due to the broader restrictions on capital and the desire of the Chinese bank to form reserves. Gold Companies’ profits, Gold Harvest Consulting, said the gold record that is at the London Souk Souk Association, which is the largest gold trade market in the world, will benefit from the diluted rules, because it imports raw gold and repeats it and then exercises it. She added that these facilities will also contribute to the help of the domestic jewelry sector to meet more external orders. Hong Kong CEO, based in the Hong Kong, said that the timing of the bank’s move is connected to the foreign exchange market. Also read: China increases the price of the reference Yuan on the greatest frequency since January amid the weakness of the dollar of the yuan. It strengthens the dollar. For Chinese consumers, the local currency is the strongest gold base gold cheaper for purchase. Reducing import rules could increase demand for the dollar and help curb the rise of the yuan, he said. The effect on prices is the broader context in Beijing’s pursuit of its influence on the price of the goods it imports, the gold of which is gold. “Every step should be seen after more liberalization of the Chinese gold market in this context,” says Jean -Ninyouij, an analyst at Money Metals Exchange. And “Since the capital account in China is still closed, I do not think that the local gold market will open in the near future.” Among the other moves to develop the market this year is to enable Chinese insurance companies to buy gold, which can add a major source of demand. Also read: Standard gold quantities flowing on the largest Chinese stock exchange due to the price teams expanding the Shanghai gold stock exchange and expanding the Shanghai Gold Exchange, which is under the supervision of the Chinese bank, for the first time outside the continent, by creating a gold storage facility and exemption from trading contracts in Hong Kong. Currently, the central bank is taking additional steps to improve the global presence of China. “The restrictions imposed on the permits are one of the obstacles that prevents China from becoming a real international center for gold trading with liquidity comparable to the London market,” New Winnoug said.