foreign institutional investor ( rqfii ) scheme was expanded by rmb200 billion, bringing the total to rmb270 billion. the qianhai cross - border lending pilot scheme was also launched, enabling companies incorporated in qianhai to borrow rmb loans from banks in hong kong for uses relating to the development of qianhai. i look forward to the further streamlining of policy arrangements so that all cross - border transactions currently settled in us dollars can have the option to be settled in rmb also. this in turn could be followed by the continued relaxation of cross - border flows of rmb into and out of mainland china along with the liberalisation of chinaa€™s capital account. the relaxation of capital account restrictions, the expansion of the offshore rmb market, and an increase in the financial depth of the onshore markets can be mutually reinforcing and beneficial to the growth of the offshore rmb market. intermediation among non - residents the third set of characteristics involves the provision of intermediation among non - residents. the eurodollar market provides efficient intermediation among non - residents. for example, it allows for eurodollar bonds to be issued by non - us entities and bought by non - us investors. to an increasing extent, the offshore rmb market is functioning as a platform for rmb financial activities conducted by non - residents. the pool of rmb deposits in hong kong, being deposits of mainly non - mainland individuals and corporates, is exceeding rmb 800 billion. adding to that is the dim sum bond market, which has a size of rmb 260 billion at present. offshore rmb bonds are being issued by mainland chinese entities as well as multinationals, and they are being bought by offshore investors. at the same time, banks in hong kong are extending rmb loans to customers, with the outstanding amount of such rmb loans currently stands at close to rmb90 billion. bis central bankersa€™ speeches as the market deepens and a greater variety of rmb products become available offshore, we will eventually see more rmb intermediation within the offshore markets, especially as non - chinese residents become willing borrowers of rmb. however, for that to happen, work on different fronts needs to be pursued and market efficiency furthered through innovative solutions and active participation by different market players. i anticipate this could play out in three dimensions : a€¢ first, there will be a need to facilitate

##b offshore market development. the policy headroom to develop rmb business is already present, and we at the hkma will continue to provide a safe and efficient financial infrastructure for the conduct of rmb offshore activities. but the most important of all, i would encourage businesses and financial institutions to make full use of such opportunities already available and promote the development of a wide range of rmb services and financial products. forums like this one help us prepare for the future by examining what has transpired, making comparisons and exploring business opportunities and collaborative initiatives. i am eager to work together with all of you in shaping what is to come. thank you. bis central bankersa€™ speeches