The People's Bank of China has approved licences for Westpac and ANZ to act as market-makers for direct trading of the renminbi and Australian dollars, the Australian Prime Minister, Julia Gillard, confirmed yesterday. Australia is the fourth country to negotiate direct conversion of their currency with China's currency, bypassing the need for a two-stage conversion via US dollars. Japan and Taiwan are the other two countries whose banks can directly convert Chinese currency. The chairman of the Bank of Queensland is standing by one of is directors, David Willis, who was chief executive of the Australian arm of the failed British bank HBOS. The management of the local HBOS business came in for heavy criticism in the report on the failure of the bank by the UK Parliamentary Commission on Banking Standards. BOQ chairman Neil Summerson, told the Australian Financial Review that Willis had served the bank with distinction since joining the board in February 2010. Former UK directors of HBOS are facing boardroom bans after the release of the Commission's report.