13 Aug, 2012 -
Germany’s Bundesbank is in the final stage of talks with Japan to establish a trading hub in Tokyo, as the central bank wants to manage some foreign currency reserves in Asian financial markets, the Nikkei business daily reported, citing financial sources of both nations. Germany’s central bank has foreign reserves worth about 190 billion euros (US$233.97bil), but the Nikkei did not report how much the Bundesbank plans to move to Asia.
Bundesbank had largely agreed with Japan’s Financial Services Agency, the Bank of Japan and the Finance Ministry to start trading in September, the report said. A Bundesbank official told the Nikkei that the bank had decided to set up a trading hub in Tokyo because of the growing influence of Asia’s politics and economies. The central bank was seen to start trading assets denominated in yen and Australian dollar, and it might consider trading in other Asian currencies such as the Chinese yuan, the South Korean won and currencies of South-East Asian nations in the future, the Nikkei said.
(Source – “The Star – Online Edition“)
