Foreign banks in Shanghai, authorized to carry out Renminbi business, have reported smooth operations in the first nine months of this year.

According to statistics released by the Shanghai branch of the People's Bank of China (PBOC), the central bank, there are now 19 foreign banks doing RMB business in Shanghai. By the end of September this year, they had accumulated deposits of 3.1 billion yuan and loans of 2.6 billion yuan.

Daniel Lin, president of the HSBC (the Hong Kong and Shanghai banking Corporation Limited) Shanghai branch, was optimistic about the prospects of the RMB business.

He said that HSBC is one of the first nine foreign banks allowed to run Chinese currency business in China. It signed an agreement with the Bank of China in London last month to establish their first bilateral renminbi funding line amounting to RMB 3 billion.

Toru Mitarai, president of the Shanghai branch of Japan's Sanwa Bank Ltd, said that about 350 enterprises have opened RMB accounts at the bank, accounting for 60 percent of its total customers.

Meanwhile, Chinese banks in Shanghai have also been cooperating with their foreign colleagues in inter-bank loans to support foreign banks in developing RMB business. (Xinhua)