Hong Kong's insurance sector is lobbying for regulatory approval to allow the issuing of life policies in yuan, reveals the South China Morning Post.
Insurers are not the only ones clamouring for yuan-denominated financial products, notes the Post. Leading the lobby is Hong Kong Exchanges and Clearing, which says the expansion of yuan-related business will be a strategic development for the next several years.
Veteran broker David Tung Wai, however, told the Post that as long as the yuan is not a freely convertible currency, it is impossible for many financial products to launch in Hong Kong. "We need to wait for China to further relax restrictions on the convertibility of the yuan before we can see any yuan shares or yuan financial products launched in Hong Kong," he told the Post.