RMB trading in Taiwan a sign of closer ties: expert  

两岸货币“直航”提升大陆对台资吸引力

“两岸货币实现直接兑换降低了台商在大陆投资的成本，也就是提升了整个大陆地区对台资的吸引力。”7日，南京财经大学金融学院院长闫海峰接受采访时如是说。

Suzhou (CNS) – The trading of yuan in Taiwan, which took place for the first time on Wednesday, will strengthen economic ties between the mainland and Taiwan, an expert said Thursday.

Yan Haifeng, dean of the School of Finance at the Nanjing University of Finance and Economics, said yuan trading will lower costs for Taiwanese enterprises and encourage more investment in the mainland. Both the risk of exchange rate fluctuation and the cost of currency exchange will be lowered, he added.

"Taiwan and the mainland have taken a big step in boosting their ties in the financial sector," Yan said.

Trade between the mainland and Taiwan reached 168 billion US dollars in 2012, a year-on-year increase of 5.6 percent.