The People's Bank of China (PBOC) , or the central bank, and Hong Kong's renminbi clearing bank, Bank of China (Hong Kong) Limited (BOCHK), Monday signed a revised Settlement Agreement on the Clearing of Renminbi Businesses in Hong Kong.

The move is set to help the financial hub expand its business in the Chinese currency RMB.

Hu Xiaolian, deputy governor of the PBOC, and He Guangbei, vice chairman and chief executive of the BOCHK, signed the agreement as representatives of each party.

A supplementary Memorandum of Cooperation on the expansion of the RMB trade settlement scheme was also signed Monday.

The PBOC, who authorized the BOCHK as the RMB clearing bank in Hong Kong in December of 2003, signed a clearing agreement with the BOCHK in relation to RMB Business in HK in July of 2009, since when the BOCHK launched RMB clearing services for trade settlement.