China will open up its market for bank card clearing transactions to foreign players.

Currently Visa and Mastercard piggyback their services on China's UnionPay when accepting yuan payments and pay network access fees.

Rules and regulations have yet to be determined regarding opening up the market which was valued at $6.84 trillion last year.

This is set to resolve a longstanding dispute between the US and China over electronic payments. In 2012, the WTO ruled that China's policies discriminated against foreign card card companies.

Shares in both Visa and Mastercard have surged in value since the announcement made yesterday.