China says yuan convertibility in Qianhai limited to certain areas

HONG KONG, June 30 (Reuters) - Yuan convertibility in China's new financial zone in the southern city of Shenzhen will be limited to certain sectors, the country's central bank said on Saturday in Hong Kong.

"The experiment of yuan convertibility under the capital account in Qianhai will mainly be focused on the areas where the convertibility level is low, for example lending," said Hu Xiaolian, vice governor of the People's Bank of China, referring to a district of Shenzhen.

China said on Friday it will experiment with service sector reforms in a new business zone offering freer currency movements and Hong Kong professional standards, building the sort of test bed that turned the country into a manufacturing powerhouse. [ID:ID:nL3E8HT3QQ] (Reporting By Kevin Yao; Editing by Anne Marie Roantree and Daniel Magnowski)