The agreement on financial cooperation signed in December 2011 is composed of five items, including: 1) Promoting the use of JPY and RMB in cross-border transactions between Japan and China, 2) Supporting the development of direct exchange markets between Japan and China, 3) Supporting sound development of JPY and RMB bond markets, 4) Encouraging the private sector to develop JPY-denominated and RMB-denominated financial products and services in the overseas markets, and 5) Establishing "Joint Working Group for Development Japan-China Financial Markets" to promote mutual cooperation in the above-mentioned areas. The agreement on financial cooperation will also support the real economy in the field of trades and direct investments between two countries. In addition, it is characterized that it adopts the two-way method of cooperation and covers the area of Capital Market as direct financing. It is also expected that the agreement on financial cooperation will form the base in order to implement the 12th Five-year Plan of Financial Industry for China. <<