Part of the Belt and Road financial infrastructure initiative, this represents a significant progression towards closer financial market activity between the two nations.

Mrs May announced that the service was live whilst in Shanghai, as part of her first visit to China as Prime Minister. R5 was invited to join the delegation of British businesses on the Prime Minister's visit, which includes HSBC, LSE, BP, Standard Chartered and Standard Life Aberdeen.

Using R5-SHCH Connect domestic banks in China now have access to the London FX market, recognised as the leading centre for global FX trading. The new service is a partnership between London's R5 and the Shanghai Clearing House, announced by UK Chancellor Philip Hammond in December as part of the 9th UK China Economic Dialogue.

R5, the award wining London-based company, demonstrates how FinTech is driving significant change in finance, as new technology providers carve out market share in the changing landscape of global financial markets. R5 is leading the digital transformation of Emerging Markets FX, as this market migrates from slow, opaque and inefficient voice trading to electronic channels.
Jon Vollemaere, CEO of R5 commented, "R5-SHCH Connect is a shining example of what can be achieved when the UK and China work in cooperation, driving innovation and capturing opportunities that emerge as the financial markets evolve."

He added, "The new service offers benefits for all institutions trading FX. It provides Chinese banks with increased access to the global FX market, it enhances liquidity in major currencies, and it advances the internationalisation of the RMB. Since this initiative was announced at the end of last year we have seen great interest from China's banks, as well as institutions already trading in the London market. These institutions will benefit from additional counterparties and deeper liquidity, provided by new Chinese entrants. “

R5-SHCH Connect reinforces London's leading position in global FX, in RMB trading, and in FinTech.

The first phase of R5-SHCH Connect has gone live with eight Chinese banks connecting to the London FX market. Many more onshore Chinese banks will be added throughout 2018.