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Clamour in China To Reduce Reliance on Dollar – SCMP

Calls for reduced reliance on the dollar system and boosting the yuan to become a robust, globally-traded reserve currency come in the wake of deteriorating relations with the West


Asset managers have urged China to implement radical debt market reforms, such as more transparency on how defaults are handled, the Financial Times reported.
The calls come as global fixed-income traders sold about $35 billion worth of yuan-denominated bonds in the first four months of this year. File photo: AFP.

 

There is a growing clamour in China to revamp the exchange rate regime and move towards boosting the yuan to become an anchor currency, especially in Asia, amid worries that Beijing may be booted out of the SWIFT financial messaging platform in the wake of sanctions linked to the Russia-Ukraine conflict, if ties with the US worsen, the South China Morning Post reported on Tuesday.

Calls for reduced reliance on the dollar system and the establishment of the yuan as a robust, globally-traded reserve currency come in the wake of deteriorating relations with the West over a host of issues including geopolitical tensions ranging from Hong Kong to Taiwan, the report added.

Read the full report: South China Morning Post.

 

 

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Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years and has a family in Bangkok.

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