China may build rail tunnel under Mount Everest

China may build rail tunnel under Mount Everest, state media reports.

China is considering extending a railway line linking the country to Nepal via a tunnel under Mount Everest, according to Chinese state media.

The proposal is the latest in a series of ambitious rail schemes Beijing is reportedly examining. It comes amid scepticism about whether some of the projects will ever get off the ground and at a time of a growing Chinese presence in Nepal, which has caused some concern in rival regional power India.

The Qinghai-Tibet railway already links the rest of China with the Tibetan capital, Lhasa, and beyond, and an extension running as far as the international border is already being planned “at Nepal’s request”, the China Daily quoted a railway expert at the Chinese Academy of Engineering as saying.

The project is expected to be completed by 2020, the newspaper cited a Tibetan official as saying. Extending the line would potentially forge a crucial link between China and the huge markets of India. It was raised by the Chinese foreign minister, Wang Yi, on a visit to Kathmandu in December, according to Nepalese reports.

“The line will probably have to go through Qomolangma so that workers may have to dig some very long tunnels,” railway expert Wang Mengshu told the China Daily, referring to Mount Everest by its Tibetan name.

Owing to the challenging Himalayan terrain, with its remarkable changes in elevation, trains on any line to Kathmandu would probably have a maximum speed of 75mph (120km/h), he added.

Beijing’s increasing role has raised alarms in New Delhi that China, already closely allied to Pakistan, is forging closer economic ties with Sri Lanka, the Maldives and Nepal in a deliberate strategy to encircle India.

In an apparent counter-move, Indian Prime Minister Narendra Modi pledged late last year that South Asia’s largest economy would fund a series of regional investments and free up its markets to its neighbours’ exporters.

Source: investmentwatchblog.com

China starts payments with Russia in national currencies

China will start swaps and forwards between the yuan and the national currencies of Russia, Malaysia and New Zealand on December 29, the China Foreign Exchange Trade System (CFETS) reported Friday.

Earlier in December, China’s Minister of Commerce Gao Hucheng claimed that China could increase the usage of yuan in trade with Russia amid the ruble’s depreciation, which falls in line with China’s intention to increase the usage of national currencies in international payments in order to weaken the US dollar’s dominance in global finance and promote the yuan as an alternative.

In October, the Russian Central Bank and the People’s Bank of China reached a three-year agreement on currency swaps worth 150 billion yuan (over $24 billion).

Both the Russian and the Chinese leaders have repeatedly praised the decision, saying it would bring positive effects for the countries’ economies and currencies.

The main benefits of mutual payments in national currencies are the absence of charges for the conversion of the currencies, direct payments and higher transparency in relations between the banks.

Copyright © 2014 Sputnik News