China eyes bigger global role for yuan as US dollar stability questioned
The
People's Bank of China (PBOC) announced at its midyear meeting that it would expedite the yuan's use in trade settlement and cross-border financing.
'[We'll] accelerate the expansion of the yuan's use in trade, further enhance its financing function and optimise policies governing funding pools and overseas listings of domestic companies,' the central bank said.
It also pledged to strengthen the offshore market and establish stable liquidity supply channels across a full range of maturities, while speeding up the development of overseas clearing banks through Beijing's yuan-denominated Cross-border Interbank Payment System (CIPS).
This marked the first time in three years that China's central bank has included a dedicated section on yuan internationalisation in its midyear meeting readout.
The statement aligns with Beijing's broader strategy to
raise the yuan's global profile amid mounting concerns over US debt sustainability and rising geopolitical tensions, which have cast fresh doubt on the dollar's dominance.
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