China should boost its exports of railway, energy, telecommunications equipment and machinery under the initiative of ‘One Belt, One Road’, China’s State Council said.

The Chinese cabinet said in a statement on Wednesday after a regular meeting that a yuan payment system for cross-border transactions would be established to drive the country’s exports while regulations for overseas investments could be simplified.

‘One Belt, One Road’ refers to a network of infrastructure and trade initiatives with China’s neighbours. It broadly covers the geographic path of the historic route that once moved trade goods from East to West. The Silk Road Economic Belt and 21st Maritime Silk Road, are concepts proposed by China’s President Xi Jinping to strengthen China’s relations and co-operation with other countries and regions, including Africa and Europe.

Mr Xi said earlier this year that China’s annual trade with countries under ‘One Belt, One Road’ should top US$2.5 trillion in a decade.