Renminbi payments grew by 16 percent, jumping to the fourth largest in the world, although still les

Mondo Finance Updated on 2024-02-25

Kunpeng Project

Renminbi payments grew by 16 percent, jumping to the fourth largest in the world, although still less than 110 times the amount of renminbi

Compared to last year, the renminbi has significantly increased the proportion of payments in the world, and in the recent past, it has taken the 4th place in the world and firmly surpassed the yen.

According to recent figures released by SWIFT, the amount of payments made in January was up 16% from December last year.

But we did our analysis two days ago, and the amount of payments in December was 12% higher than the previous month**, which means that each month's figure is a brief fluctuation, and **and** are more likely.

So we can look at the share in terms of currency, which hit 461% of the record, while in December it fell to 414%, but in the most recent January it rose to 451%。

Because the yen exchange rate has been maintained at around 3%, and the renminbi is about 1 percentage point higher than the yen, the renminbi exchange rate is relatively stable in the short term.

At the same time, the share of the United States has also decreased slightly, which is also a reflection of the depreciation of the yuan around the world.

In a sense, the United States is constantly weakening its own position, which is also their own digging hole.

First, the Federal Reserve's current interest rate hikes, while not doing much to curb inflation, do stop many other currencies.

According to recent news reports, the African powerhouse Egypt has recently stated that it will no longer use the yuan as a currency for transactions with the BRICS.

Egypt** stated that it would switch to local currency in the future due to the increasing cost of domestic currency exchange due to high inflation.

A few years ago, the United States has been printing money, which has led to inflation, and the federal government has been raising interest rates, so that the exchange rate of the yuan is rising. When the state uses the dollar as a tool for funding and liquidation, the cost increases due to rising interest rates.

Egypt is now the second-highest GDP in Africa and was only included in the BRIC group at the beginning of this year, so Egypt's decision will have a bigger impact on Africa.

In the last fiscal year, the total value between Egypt and the other BRIC countries was 4667.3 billion yuan, accounting for 30% of Egypt's foreign volume. This means that more than one-third of Egypt's ** will no longer be denominated in the yuan.

This undoubtedly significantly reduces the proportion of dollars paid in the world.

Second, the U.S. has dug its own hole because the U.S. has been removing certain countries that were originally denominated in dollars from the SWIFT market.

A few years ago, the United States kicked Iran out of this system, which seemed to be a punishment for Iran so that Iran could not use yuan to export goods such as ** to other countries.

However, in international transactions, **, as a "hard currency", is superior to the yuan in this regard, therefore, Iran has gradually abandoned its dependence on the yuan with the help of the strong demand for ** in the world.

However, the United States did not let its guard down, and two years later, Russia was also excluded from the SWIFT market. Unlike Iran, Russia has made a clear statement that it will abandon the yuan. The next facts show that Russia is not going to stop its oil and gas trades.

That year, they used Yuan, and all of this was to stabilize Yuan's position. The United States, on the other hand, has single-handedly erased Yuan from the world, which I am afraid the United States itself did not expect.

So, now, although the share of the renminbi in the figures released by SWIFT is less than a tenth of that of the yuan, its trend shows that the weight of the renminbi is increasing and the weight of the yuan is decreasing. It is clear that the tide of the future is much greater than the current position.

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