His latest report said People’s Bank of China (Central Bank), the opening up of China’s financial market has added more attractiveness to foreign investors for Chinese yuan-denominated assets and encouraged the global use of the Chinese currency.
By the end of 2021, foreign entities held 10.83 trillion yuan (approximately 1.55 trillion US dollars) in yuan assets including stocks, bonds, loans and deposits, up 20.5% on a basis annua, adds the report.
The report also states that cross-border deals using the Chinese yuan have increased, with total deals used in current account and direct investment reaching 6 trillion yuan in the first half of this year, an increase of 23%. compared to last year. Meanwhile, yuan settlements in cross-border e-commerce increased 20.7% from the same period last year to 431.7 billion yuan.
The report added that more than 80 foreign central banks or monetary authorities rely on the yuan in their foreign exchange reserves.
The report cited International Monetary Fund data, noting that the Chinese currency accounted for 2.88% of total foreign exchange reserves worldwide in the first quarter of this year, an increase of 1.8 percentage points over the to 2016, when the Chinese currency entered the basket of special drawing rights of the IMF International.
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