China is now likely to learn from its neighbours' experience and proceed more slowly in opening up its own financial system and making its currencyfullyconvertible.
Such agreements allow central banks to swap currencies and can be used by firms to settle trade in local currencies rather than in US dollars, as happens now, since China's currency is not fullyconvertible to other currencies.
Such agreements not only allow central banks to swap currencies, but can also be used by firms to settle trade in local currencies rather than in US dollars, as happens now, since China's currency is not fullyconvertible to other currencies.
Now while the Russian government still heavily intervenes in currency markets and is far from a paragon of laisez faire, th e ruble is fullyconvertible.