DAR ES SALAAM, Aug. 12 -- TANZANIAN businesses trading with China can now make and receive payments directly in Renminbi (yuan), following the introduction of a direct yuan settlement facility, a move expected to reduce currency conversion costs and ease cross-border transactions.

The development comes as China maintains its position as Tanzanias largest trading partner, with bilateral trade reaching nearly 9bn US dollars in the latest full year of available data.

The direct settlement mechanism removes the need for businesses to route transactions through the US dollar before completing payments with Chinese counterparts, potentially reducing transaction costs, currency exposure and delays.

Speaking at the launch, Bank of Tanzania (Bo...