Foreign media: China plans to challenge the dominant position of the US dollar in global finance, aiming to promote the renminbi as a global reserve currency. The plan is driven by increasing global economic and geopolitical uncertainties, especially against the backdrop of the Trump administration's economic policies that caused a significant drop in the value of the US dollar, leading to record-high gold prices.
China hopes to reduce its reliance on the US dollar and enhance its influence in global trade and finance by strengthening the international status of the renminbi. Although it is still far from realistic for the renminbi to replace the US dollar, China's strategy includes promoting the use of the renminbi in trade settlements, especially in trade with developing countries, and increasing foreign demand for the renminbi.
Additionally, the status of the renminbi as a global payment currency and trade financing currency has been gradually rising, reflecting the process of the renminbi's internationalization. Although the US dollar still accounts for 57% of the share in global foreign exchange reserves, the international influence of the renminbi is gradually expanding, and China is taking this opportunity to promote further openness of its economy and finance.
Original article: toutiao.com/article/1856181832282119/
Statement: This article represents the views of the author himself.