"Alarmed by the US Federal Reserve's aggressive money printing, which threatened the value of Beijing's $1.9 trillion (1.65 trillion) in foreign assets, the People's Bank of China (PBOC) launched a pilot scheme in July 2009 to settle cross-border trade in the yuan, or renminbi, for the first time. The pilot kickstarted a 16-year campaign that now sees the yuan used to settle 30% of China's $6.2 trillion global trade in goods,"
"The yuan's share of global currency reserves also reached its highest-ever level in the second quarter of the year at 2.4%, the International Monetary Fund (IMF) said in October. Yuan's global role grows, with limits While BRICS nations of the Global South recently explored alternatives to the dollar, including proposals for a shared currency, China has taken a more pragmatic approach, steadily building the yuan's role in global trade while deliberately maintaining controls on currency exchange."
China began reducing reliance on the US dollar after the 2008–2009 financial crisis and launched a July 2009 pilot to settle cross-border trade in the yuan. The yuan now settles 30% of China’s $6.2 trillion goods trade, and including bond purchases and foreign investment its share of cross-border payments rises to 53%, overtaking China’s dollar trade in 2023. The yuan briefly surpassed the euro as the second-most used currency in global trade finance, with 5.8% versus the dollar’s 82% per SWIFT. The yuan’s share of global reserves reached 2.4% in Q2 according to the IMF. China has expanded yuan use pragmatically for trade while maintaining exchange controls and limiting financial liberalization.
Read at www.dw.com
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