China's central bank has authorized the Bank of China in New York to provide Renminbi clearing services in the United States.

It is the first for China to set up a Renminbi clearing bank in the US. During the eighth China-US Strategic and Economic Dialogue, senior Chinese and US officials endorsed a framework for facilitating Renminbi trading and clearing in the US.

As the world's largest economy, the US is a key destination for the Renminbi in its internationalization process. Vice president of Bank of China Zhang Qingsong says this will help Chinese firms who have overseas business deals.