Singapore has overtaken London as the top Rmb offshore clearing centre after Hong Kong.

New data from Swift shows that the value of Rmb payments in Singapore increased by 375% between March 2013 and March 2014.

Singapore now represents 6.8% of the total value of Rmb payments worldwide while London represents 5.9%. Hong Kong is the largest Rmb offshore clearing centre with 72.4% of the global total.

“Singapore’s rise bodes well for both London and Frankfurt after confirmation that Rmb clearing centres will be established in both cities,” says HSBC global head of clearing and foreign currency payments Tom Halpin in response to SWIFT’s data.

“The rate of increase in payments activity by businesses and financial institutions shows the currency becoming an increasingly important part of international commerce. This is just the beginning of a very exciting new era in global trade.”

Despite a growth rate of 203% year-on-year from 2013, London slipped behind Singapore in February 2014.

“Singapore’s impressive growth as a RMB clearing centre since it gained clearing status shows its evolution as a vital hub for global as well as south-east Asian Rmb business,” adds Halpin.

“It is interesting to note the increase in the share of payments coming from markets outside China and Hong Kong, as new businesses discover the advantages of making cross border payments in Rmb.”