Citi Global Transaction Services has launched RMB settlement services in Sri Lanka, as the island joins the growing number of countries welcoming renminbi-denominated investment products.

The RMB settlement service enables firms to open and maintain RMB accounts in RMB with Citi and make payments directly to beneficiaries.

The move underlines how China is establishing the RMB as an international currency. 

"We saw the recognition of the RMB as a settlement currency by the Central Bank of Sri Lanka as an opportunity to help our clients eradicate currency exchange risks. This drove the service's launch in the country," said Dilshan Seneviratne, head of Citi's global transaction services unit in Sri Lanka. 

Sri Lanka is a major market for Chinese goods, services and labour. China also finances the majority of the country's largest infrastructure projects and investment efforts.