Surpassed the Yen, RMB Ranks Fourth in Global Payments!

According to a report released by the Society for Worldwide Interbank Financial Telecommunication (Swift) on the 19th, the share of RMB international payments in December 2021 increased from 2.14% in November to 2.70%. In that month, the share of RMB in international payments rose to fourth. It surpassed the yen, the highest level in six years.

Wang Youxin, a senior researcher at the Bank of China Research Institute, said in an interview with a reporter from the Economic Information Daily that there are three main reasons for the increase in the share of RMB international payments: First, it is related to the increase in the share of China's import and export trade in the world.

Second, against the rebound of the US dollar, the RMB exchange rate remained relatively stable, which enhanced the confidence of international investors in using RMB in cross-border trade, investment and financing.

Third, driven by the opening of the financial market, foreign entities have actively increased their allocation of RMB assets, and the RMB bond index has been included in the international mainstream index, bringing in a lot of incremental funds, and the cross-border use of RMB under securities investment has increased significantly.

Surpassed the Yen, RMB Ranks Fourth in Global Payments